The market is losing confidence in US policy making and the economy, with investors fleeing US assets in large numbers.

BlockBeats News, April 12th, Today the U.S. Treasury yield surged to its highest level since February this year, as the $29 trillion U.S. Treasury market saw a sharp sell-off, exacerbating liquidity deterioration. The U.S. 10-year Treasury yield jumped 0.19% to 4.58%, and the U.S. Treasury, traditionally seen as the ultimate safe haven in the global financial system, is falling into deeper distress.

Earlier this week, the U.S. Treasury yield was below 3.9%, but Trump's capricious tariff policy has shaken market confidence in U.S. policy-making and the economy, triggering a massive exodus of investors from U.S. assets. Peter Tchir, Head of Macro Strategy at Academy Securities, said, "If you are a foreign holder, there is, indeed, pressure to sell U.S. Treasuries and corporate bonds globally. What the world is truly worried about is that they don't know what Trump is going to do."

According to the Bloomberg U.S. Treasury Index, Friday's sell-off led to the worst week for U.S. Treasuries since 2019, accompanied by a decline in the U.S. dollar. A senior executive in the bulk services division of a European bank said, "We are concerned because the trend you see indicates that this is not a normal sell-off; people have completely lost confidence in the world's strongest bond market." (Golden Finance)