Trump’s Tariff Decision Gains Urgency as Bond Market Volatility Increases

U.S. National Economic Council Director Kevin Hassett indicated that while U.S. President Donald Trump’s decision to pause tariff imposition wasn’t directly influenced by the volatile bond market, it may have added urgency to the decision-making process. Hassett asserted that everything is proceeding smoothly and yesterday’s reaction from the Treasury market suggests a need for swift action, possibly with increased urgency. The U.S. 10-year Treasury yield reached above 4.5% on Wednesday night, while the 30-year Treasury bond yield spiked past 5%, resulting in sharp declines in bond prices.