Stock Market Today: Global Bond Selloff Deepens, Hitting Europe Hardest

Live updates

1. 11d ago

   European Stocks Recover as Global Bond Selloff Eases

   European stocks rose Thursday after three consecutive days of losses as the global bond selloff eased. While markets showed signs of recovery, the broader rout is driven by investor concerns over unchecked government spending and expectations that central banks will maintain higher interest rates for longer periods. Investors are now awaiting U.S. economic data to determine the Federal Reserve's next moves. Despite the recent dip in yields, some economists believe the selloff has not concluded.

   Why it matters

   The bond market has seen yields climb globally, with the U.S. 10-year Treasury reaching its highest level since November 2023. This volatility impacts borrowing costs and equity valuations worldwide. The current decline is less severe than the 2022 market wipeout.

   What is confirmed

   • European stocks rose Thursday following three straight sessions of losses.
   • The global bond selloff eased on Thursday.

   Still unconfirmed

   • The rise in bond yields stems from unease over unchecked government spending and bets on higher-for-longer interest rates.

   What to watch next

   • Upcoming U.S. economic data releases
   • Federal Reserve interest rate decisions
   Sources used for this update (4)

   1. www.cnn.com — The bond market rout is global. Here’s what’s driving it
   2. finance.yahoo.com — European stocks rise as global bond selloff eases
   3. www.marketscreener.com — European stocks recover from one-month lows as bond yields retreat
   4. www.cnbc.com — Global bond sell-off likely not over yet, Mohamed El-Erian tells CNBC
   confidence 85%
2. 13d ago

   Global Bond Selloff Deepens With European Markets Most Affected

   A widening global bond selloff has pushed bond rates higher, with European markets experiencing the most significant impact. In the United States, the 10-year Treasury yield reached its highest level since November 2023. While global bonds are slumping, Bloomberg reports that the current decline is not as severe as the market wipeout seen in 2022. Investors are currently reacting to rising yields across multiple international markets.

   Why it matters

   Bond yields and prices move in opposite directions. When yields rise, the market value of existing bonds falls, which can increase borrowing costs for governments and corporations.

   What is confirmed

   • Global bond rates are rising.
   • The 10-year U.S. Treasury yield reached its highest level since November 2023.

   Still unconfirmed

   • Global bonds are slumping.

   What to watch next

   • Further movements in the 10-year U.S. Treasury yield
   • Official economic data from European bond markets
   Sources used for this update (5)

   1. Bloomberg.com — Global Bonds Are Slumping But It’s Nothing Like the 2022 Wipeout
   2. CNBC — 10-year U.S. Treasury yield hits highest level since November 2023 as global bond sell-off continues
   3. The New York Times — Global Bond Rates Are Rising. What Should You Do Now?
   4. WSJ — Stock Market Today: Global Bond Selloff Deepens, Hitting Europe Hardest — Live Updates
   5. Yahoo Finance — Why you should care about rising bond yields
   confidence 80%