All articles tagged with #us bond market
The US bond market remains fragile amid tensions between the Trump administration's policies and investor concerns over high debt levels and potential changes in revenue sources, with recent market movements reflecting underlying fears about fiscal sustainability and political stability.
Since Trump's tariffs in April caused turmoil in the US bond market, the administration has taken measures to keep yields low and prevent a resurgence of volatility, but underlying concerns about high debt levels and fiscal policy risks remain, making the peace fragile.
The article argues that despite popular fears of US dollar debasement driven by government borrowing and money printing, the bond market and central banks have shown confidence in the dollar's stability, with bond yields falling and central banks reducing assets, contradicting the debasement trade narrative.
Jamie Dimon warns that the US bond market may 'crack' under increasing debt levels, urging the government to change its fiscal trajectory amid rising Treasury yields, a declining credit rating, and concerns over long-term economic stability.
The US bond market is stabilizing after a two-month selloff, as investors are attracted to 4.5% yields, despite uncertainties driven by strong economic data and persistent inflation.
US bond yields rose after New York Fed President John Williams mentioned the possibility of an interest-rate increase, interrupting the market's recovery from earlier highs. Williams clarified that it's not his base case but acknowledged that higher interest rates may be necessary if economic data indicate a need to achieve the Fed's goals.