Treasury Market Selloff Resumes With Global Bond Yields Rising
- 10-year German yields jump above zero amid hawkish turn
- Pool of global negative yielding debt shrinks to 2018 level
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The U.S. Treasury market was hit by a renewed round of selling as sharply rising European bond yields underscored the growing hawkish chorus among the world’s major central banks in the face of surging inflation.
The drop in Treasuries extended global bond losses Thursday, when benchmark U.K. and German 10-year yields jumped more than 10 basis points after the Bank of England and the European Central Bank held policy meetings and signaled patent unease about elevated inflation pressure. The German 10-year yield, which had been below zero until this week, jumped to around 0.15%, weakening what had been an anchor on Treasury yields as European investors shifted money to the U.S. to get positive returns.