US Treasuries steadied in European trade on Friday after the most turbulent day for the world’s biggest bond market since the height of coronavirus-induced ructions last March.
Five-year Treasuries, which were at the centre of a fierce rout in US government debt on Thursday, ticked higher in price on Friday. The yield slipped 0.06 percentage points to 0.76 per cent, after surging more than 0.2 percentage points in the previous session. The 10-year Treasury yield also followed suit, slipping 0.06 percentage points to 1.47 per cent after jumping as high as 1.6085 per cent on Thursday.
“Yesterday proved to be nothing short of a rout in global markets, with the sell-off in sovereign bonds accelerating as investors looked forward to the prospect of a strengthening economy over the coming months,” said Jim Reid, research strategist at Deutsche Bank.