Strong demand for US Treasury 10-year note auction despite trade war concerns

From Yahoo Finance: 2025-04-09 14:22:00

A U.S. Treasury debt auction of $39 billion in 10-year notes was well received despite trade war concerns. The high yield was lower than expected at 4.435%. The 10-year yield dropped to 4.38% after the auction, following a sharp rise this week. Indirect bidders took up a record 87.9% of the bids, signaling strong demand.

Investors have been worried about trade conflicts impacting global safe havens. President Trump’s decision to pause new tariffs for 90 days eased some fears. A recent three-year note auction was poorly received, priced higher than expected at 3.784%. Last month’s 10-year note auction met expectations with stable demand.

Thursday will see the U.S. Treasury auction $22 billion in 30-year bonds. Long-term bond yields have surged to levels not seen since November 2023. The 30-year bond yield was up at 4.791%. Wells Fargo noted weak 10-year note auctions in April historically. Dealer participation was lower than the average, suggesting lack of interest from other investors.



Read more at Yahoo Finance: US Treasury 10-year note auction outcome shows strong demand