Market Reacts to Tariff Pause Announcement

The 30-year US Treasury bond yield experienced a significant rise on Thursday, increasing by over 10 basis points. This movement occurred as the financial markets digested President Donald Trump's decision to implement a 90-day pause on reciprocal tariffs, a move aimed at reducing trade tensions.

Volatility Persists in Bond Markets

Despite the temporary relief from tariffs, the bond markets continued to show signs of volatility. This follows a notable selloff on Wednesday, which had previously unsettled investors. However, a stronger-than-anticipated 10-year Treasury auction provided some stability, though caution among investors remains high.

Yield Movements Highlight Market Sentiment

By 11:53 am ET, the 10-year Treasury yield had climbed by 2.3 basis points to 4.379%, while the 30-year yield saw an even more pronounced increase of 11.2 basis points, reaching 4.847%. These fluctuations underscore the ongoing uncertainty and the market's reactive stance to geopolitical and economic developments.