#USStockDrop

The rise in US government bond yields intensifies market anxiety

AI Summary

According to BlockBeats, market analysts noted that rising yields on long-term US government bonds are contributing to increased anxiety in the market. As trading develops this week, the rise in yields is supporting a tense risk sentiment among traders and investors. Confidence in achieving any short-term trading agreements is decreasing, and US assets are experiencing significant impact.

The bond market previously influenced US President Donald Trump, forcing him to pause tariff issues. However, after two weeks of turmoil, the current situation remains complicated. Essentially, there is a standoff between Trump and the Federal Reserve, with one side needing to make concessions in what is described as a "game of chicken."

If Federal Reserve Chair Jerome Powell and his colleagues decide to intervene by buying US government bonds, this could provide temporary relief. However, such a move would signal that Trump's firm stance on tariffs is likely to remain.