Trade War Intensifies

In a dramatic escalation of the trade war, China has announced a new 34% tariff on all goods from the US. This move comes as a direct response to US President Donald Trump's recent imposition of a similar 34% trade duty on Chinese goods. The Chinese Ministry of Commerce has also sanctioned 11 American companies and 16 US-based entities, further intensifying the conflict.

Investors Seek Safe Havens

Amid growing concerns about a potential worldwide recession, investors are increasingly turning to safe-haven assets. This shift in investment strategy has led to a significant drop in US Treasury yields, reflecting the market's nervousness about the ongoing trade disputes.

Yield Figures at a Glance

The yield on the 2-year bond fell by 12.2 basis points to 3.578%, while the 10-year yield dropped by 11.3 basis points to 3.92%. Similarly, the return on the 30-year bond declined by 11.3 basis points to 4.364%, marking a notable downturn in the bond market.