Browsing: Bond

The bond market is flashing red. The yield on the 30-year Treasury note reached 5.44% on Wednesday, its highest level since 2004, before slipping slightly on Thursday morning. The 10-year Treasury, which influences mortgage rates, briefly neared 5.15% on Thursday morning, a level it last reached in 2001. 

The S&P 500 index (SNPINDEX: ^GSPC) is trading near all-time highs despite a worrying list of negatives. JPMorgan Chase (NYSE: JPM) CEO Jamie Dimon recently laid out some of his concerns, describing “geopolitical tensions and wars, sticky inflation, large global fiscal deficits and elevated asset prices” as “tectonic plates” that could collide. The CEO was…

SINGAPORE/LONDON, Sept 15 (Reuters) – Government borrowing costs hit their highest level since the 2008 financial crisis on Tuesday, with 10-year U.S. Treasury yields rising above 5%, highlighting the tension between fast-growing global debt loads and so far resilient economic growth.

Treasury Secretary Scott Bessent appears to be losing a tug-of-war with the bond markets he is also trying to influence.

The attempt by US Treasury Secretary Scott Bessent to bring down bond yields (interest rates) at the longer end of the market by organising an increased Treasury buyback operation of up to $6 billion has hit the ground with a thud.

Speaking at Southern Methodist University on Tuesday, Treasury Secretary Scott Bessent dared currency traders, and indirectly the bond market, to challenge him as he wages a multi-front battle to stabilize markets amid Iran war turmoil while also trying to slow rising yields that threaten to make government borrowing more costly.

Still, it’s more alarming because it came at a time when bond yields were already so elevated compared with the prepandemic years. The 30-year Treasury reached a 19-year high of 5.3% on Aug. 17, standing 2.4 percentage points above its 2017-19 average.

SoftBank Group priced a ¥1 trillion ($6.3 billion) retail bond in an offering that expands Japan’s retail corporate debt market and gives investors a viable alternative to bank deposits and stocks.

Aug 28 (Reuters) – Rising long-term bond yields may reflect investor expectations of an AI-driven productivity boom, rather than just concerns over inflation and swelling government debt JPMorgan Private Bank’s U.S. head of investment strategy

The yields on government bonds have reached their highest levels since before the financial crisis of 2008 as the financial markets deliver a directive to governments around the world that they must slash spending on all social services and deepen their attacks on the working class in order to pay for war and rearmament.