US Treasury bonds take centre stagepublished at 22:47 British Summer Time 9 April
Haider Saleem
Business reporter
US Treasury bonds have emerged at the forefront of market
concern amid President Trump’s latest tariff announcements.
Overnight, yields
on benchmark 10-year bonds surged to 4.5%, the highest since February, as
investors questioned the safety of US debt amid escalating trade tensions.
Today’s Treasury auction showed muted demand, failing to
significantly ease market nerves, despite Trump’s announcement of a 90 day
pause on reciprocal tariffs for most countries, except China, on which tariffs
rose sharply to 125%.
Trump, speaking at the White House today, downplayed bond
market volatility, describing it as “beautiful,” denying direct ties
between the sell-off and tariff policies.
Analysts, however, warn of potential
long-term instability, due to recent tariffs which could lead to price
increases,…
