The 10-year Treasury yield, a key rate for mortgages, credit cards and the economy overall, has collapsed to a six month low in the wake of President Donald Trump’s latest tariffs.
The 10-year yield was trading at 3.889% Friday morning, the lowest intraday level since Oct. 4, 2024 when it traded at 3.850%.
It broke below the 4% level, a key psychological threshold, overnight and has been pummeled further since China announced a 34% retaliatory tariff on all U.S. imports. Yields and bond prices move in opposite direction. Lower yields are good news for existing investors of bonds since it means their bonds can be sold for higher prices.