Global stocks are rebounding, causing treasury yields to increase.
Early Wednesday, global markets reversed course from a dramatic equity sell-off, resulting in higher treasury yields.
At 5:49 a.m. ET, the 10-year Treasury yield was 3.9354%, which was 4 basis points higher than the previous day, while the 2-year note yield increased by 4 basis points to 4.0282%.
Prices and yields move in opposite directions, with one basis point equal to 0.01%.
On Friday and Monday, stock markets worldwide plummeted due to increasing anxiety about a potential U.S. economic recession and the ripple effect of the Bank of Japan's hawkish shift in monetary policy.
The "safe haven" assets, such as Treasurys, were strengthened, causing the 10-year yield to reach its lowest level since June 2023.
The stock market has regained some positive momentum, with higher trading in Asia-Pacific, European, and U.S. markets on Wednesday.
Initial jobless claims on Thursday will be the main focus on the data front, with Wednesday being relatively quiet.
The Treasury Department will auction $42 billion in 10-year government notes.
Markets
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