U.S. Treasury yields soar, devastating the stock market; chip sector leads the decline

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ME News message. On May 16 (UTC+8), U.S. Treasury yields surged sharply on Friday, weakening investors’ interest in stocks as markets worried that the ongoing standoff in the Middle East would further intensify inflation. The yield on the 10-year U.S. Treasury jumped to 4.595%, the highest level since February 2025, and posted the largest single-day gain in over a year. The yield on the 30-year U.S. Treasury rose to 5.127%, the highest closing level since July 2007. All three major U.S. stock indexes closed significantly lower. After chip stocks in the U.S. and overseas had risen sharply over the past month, they became one of the most hard-hit sectors. As these market moves unfolded, oil prices continued to climb, reigniting concerns about inflation. Previously, Trump said that even as energy inventories decline, the U.S. does not need the Strait of Hormuz to remain open. Overseas stock markets also performed poorly, especially the previously strong Korea KOSPI index, which fell by more than 6%. Japan’s Nikkei 225 also dropped sharply, and after a major rise in producer prices in April, Japan’s 10-year government bond yield closed at its highest level since 1997. (Source: Jinjishi)
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ALampInMistyValley
· 4h ago
South Korea and Japan stock markets both suffer losses, Asia-Pacific will be sleepless tonight
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PaperHandsPro
· 4h ago
Oil prices rise + bond yields rise, stagflation scenario?
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GateUser-9187acf1
· 4h ago
Japan's government bonds hit a new high since 1997, is Abenomics completely over?
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0XNightRun
· 5h ago
Trump's words imply that if Houthi rebels don't open the oil prices, they won't go up to the sky.
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ColdWalletFitnessCoach
· 5h ago
The trend of U.S. Treasury yields suggests that the interest rate hike cycle isn't over yet.
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MemeFisher
· 5h ago
Inflation, that tricky thing, gets suppressed and then bounces back.
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L2Sidequester
· 5h ago
Chip stocks are also suffering, how is NVDA doing today
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InstantNoodle-LevelResearcher
· 5h ago
4.595%, but the money is still flowing into debt.
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