FX.co ★ US Treasury Yields Rise

The yield on the US 10-year Treasury note increased by nearly 4 basis points, reaching approximately 4.39% on Friday. This uptick came as President Trump's latest tariff threats intensified market uncertainties. The President declared a 35% tariff on Canadian imports effective August 1st and indicated intentions to elevate tariffs to 15% to 20% on most other nations, moving from the present rate of 10%. Earlier, he revealed a 50% tariff on imports from Brazil along with similar levies on copper, and formally notified several other major trade partners, further intensifying the administration’s trade measures. Meanwhile, the US Treasury's auctions, comprising $22 billion of 30-year bonds and $39 billion of 10-year notes, experienced robust demand. In terms of monetary policy, market expectations are that the Federal Reserve will maintain interest rates unchanged later this month, with anticipations of two quarter-point cuts by the end of the year.