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U.S. 10-Year Yields Drop Under 5
The yield on the 10-year U.S. Treasury bonds fell below 5%, as investors moved toward safe-haven assets due to increasing concerns about the impact of artificial intelligence on financial markets. The decline in yields led to a drop in tech stocks and a rise in yields on corporate bonds issued by tech companies, which are facing growing credit risks amid heightened worries over the hefty debts these companies are taking on to fund their AI expansion efforts. Additionally, U.S. Treasury yields increased after weeks of reaching record lows, with cautious expectations regarding the continuation of this trend, as the Federal Reserve's decision is anticipated next week, along with expectations of virtually maintaining current interest rates.
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