US 10-year treasury yield clocks fresh 7-year high in Asia


  • US 10-year yield clocks fresh 7-year high of 3.128 percent.
  • The easing US-China trade tensions may have pushed up yields.

The yield on the 10-year Treasury note rose to 3.128 percent - the highest level since July 2011 on the increased probability that the Federal Reserve may have to hike interest rates more aggressively than previously expected.

Further, the easing US-China trade tensions put a bid under the US stocks yesterday, thus allowing a continued rise in the treasury yields. Debt prices and yields move in opposite direction and yields usually drop during risk aversion in the equities. 

Also, the uptick in the treasury yields is pretty much in line with the bull flag breakout seen in the daily chart and the long-run inverse head-and-shoulders bullish reversal seen in the weekly chart.

As of writing, the yield is trading at 3.12 percent and looks set to rally further as indicated by the bullish technical setup.

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

AUD/USD: Further retracement targets the 200-day SMA

AUD/USD: Further retracement targets the 200-day SMA

The downward bias in AUD/USD remained unabated for yet another session on Tuesday, dragging spot to five-week lows and approaching the key 0.6600 neighbourhood.

AUD/USD News

EUR/USD remains vulnerable to extra pullbacks

EUR/USD remains vulnerable to extra pullbacks

EUR/USD retreated to multi-day lows and revisited the 1.0840 region on the back of the resumption of the buying interest in the greenback and ahead of key data releases due later in the week.

EUR/USD News

Gold reconquers $2,400, lacks directional momentum

Gold reconquers $2,400, lacks directional momentum

Gold stages a rebound and trades above $2,400 on Tuesday after closing the fourth consecutive trading day in negative territory on Monday. The pullback seen in US Treasury bond yields help XAU/USD cling to modest daily gains despite the US Dollar's resilience.

Gold News

Ripple stablecoin unlikely to invite legal trouble with SEC, XRP loses key support

Ripple stablecoin unlikely to invite legal trouble with SEC, XRP loses key support

Ripple (XRP), the native token of the XRP Ledger slipped under $0.60, a key psychological support for the altcoin. The two key market movers are the Securities & Exchange Commission’s (SEC) lawsuit against Ripple and the upcoming stablecoin RealUSD (RLUSD).

Read more

US S&P Global PMIs Preview: Economic expansion could struggle in July Premium

US S&P Global PMIs Preview: Economic expansion could struggle in July

On Wednesday, S&P Global will release advanced readings for the United States (US) Purchasing Managers Indexes (PMIs) for July, a monthly survey of business activity. The survey is anticipated to indicate that US economic activity in the private sector faced mixed trends during the current month.

Read more

Forex MAJORS

Cryptocurrencies

Signatures