Insignia Consultants | Bond market selloff jolts global investors as 'tantrum' hovers

Bond market selloff jolts global investors as 'tantrum' hovers

LONDON/NEW YORK, Jan 8 (Reuters) - A sharp selloff in some of the world's biggest government bond markets and a continued rise in the dollar sent shockwaves through financial markets, with the pain seen deepening as uncertainty grows over U.S. President-elect Donald Trump's policies.

On Wednesday, the 10-year Treasury yield , underpinning trillions of dollars in daily global transactions, jumped to above 4.7%, their highest since April, and UK peers hit their highest since 2008 , .

Germany's 10-year Bund yield rose on Wednesday as well to a more than five-month high amid accelerating euro zone inflation, and elevated bond supply. The yield , the euro zone benchmark, was last little changed on the day at 2.521%, after hitting 2.534%, its highest since July last year.

This unleashed a fresh wave of selling in currencies against the greenback, including sterling , which slid more than 1% before slightly recovering, and the euro , which was headed closer toward the $1 mark.

https://www.reuters.com/markets/rates-bonds/global-markets-yields-2025-01-08/

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