The bond selloff comes as investors were already reassessing inflation risks and government borrowing as renewed military escalations between the U.S. and Iran sparked a new surge in oil prices, with crude rising to $92 a barrel on Tuesday after two Saudi oil tanks were struck in the Strait of Hormuz. The strait handled around 20 million barrels of crude oil per day before the war, and while the U.S. says between 8 million and 9 million barrels are now exported daily, other tracking firms and analysts believe the number is between 2 million and 6 million.
The 30-year Treasury yield topped 5.33% on Tuesday, Aug. 18 -- its highest level since 2007 -- while the Schwab U.S. Dividend Equity ETF yields about 3.1%. After the last time the long bond yielded this much, dividend cuts among U.S. stocks climbed from 110 in 2007 to 804 in 2009, by S&P's count.
Bitcoin jumped 4.6% to $72,475.25 – a roughly 12% gain over the past two days after the digital asset was trading near $63,000 earlier this week.
Rising Treasury yields and persistent inflation are creating a challenging bond-market backdrop. Here are ETFs that could help investors navigate higher rates.
The US Department of the Treasury announced it will at least double the maximum size of its liquidity support buyback operations for longer-dated nominal coupon securities to at least $4 billion per operation, effective September 9, 2026. Michael McKee reports on Bloomberg Television.
Asian stocks opened Tuesday with two markets sending different signals. South Korea's KOSPI jumped more than 3% as trading resumed after a holiday, helping lift MSCI's Asia-Pacific index outside Japan by 0.8%.
The check has finally cleared. After decades of watching a chunk of their earned Social Security disappear thanks to the Windfall Elimination Provision and Government Pension Offset, retired teachers, police officers, and firefighters are seeing money owed to them arrive as retroactive lump sums following the repeal of WEP and GPO.
I reiterate a buy rating on iShares Core US Aggregate Bond ETF, citing its attractive 4.87% yield-to-maturity and strong risk/liquidity profile. AGG offers broad, low-cost exposure to investment-grade US bonds, with a 5.72-year duration and nearly 5% yield, making it a prudent portfolio core. Current market conditions favor AGG, as equity risk premiums are historically low and future bond returns may rival US large caps over the next decade.
Market gauges of inflation-adjusted borrowing costs have shot to their highest in more than a decade across major economies as AI companies and governments ramp up bond sales, raising risks for stock markets and the world economy.
Whether fixed income investors are focused on locking in yield, managing duration risk, or building resilient core portfolios, bond ETFs have been seeing elevated demand this year.
Guy Johnson, Tom Mackenzie and Mark Cudmore break down today's key themes for analysts and investors on "Bloomberg: The Opening Trade." -------- More on Bloomberg Television and Markets Like this video?
U.S. Treasury yields edged higher Tuesday as investors await July's inflation data print amid ongoing Iran tensions.