The bond market stays on edge within the new week

This is still one of the more important spots to watch with regards to the whole trade war and tariffs saga at the moment. Yields blowing up in the past week was a key reason in prompting a U-turn from Trump on his reciprocal tariffs policy. And despite scaling back on tariffs on key electronics over the weekend, the bond market remains in a tricky spot to start the week.

In the equities space, there is some hopeful optimism. But for Treasuries, there is still some apprehension. 30-year yields at 4.87% are still on the high side and holding more than 50 bps above the lows from early last week. Even 10-year yields are at 4.46% currently, and likewise is some 58 bps above the lows from last week.

If you want to switch it around, 30-year yields are down just 15 bps from the high last week of 5.02%. Meanwhile, 10-year yields only down by 13 bps from the high last week of 4.59%.

Taking all of that in, it indicates that the bond market remains very much on edge in the new week. Traders will be looking to what Trump will do next but if anything, it will take some time or some bigger gesture to calm the nerves here.