U.S. 30-year Treasury yield jumps 9 basis points higher as trade war fears reignite

U.S. Treasury yields jumped on Tuesday as investors weighed renewed tariff threats from Washington that revived fears of a trade war with Europe.

Yields on the benchmark 10-year Treasury were last seen trading around 6 basis points higher at 4.287%. Yields on longer-dated 20- and 30-year Treasurys spiked, adding 9 basis points to trade at around 4.885% and 4.93%, respectively.

One basis point is equal to 0.01%, and yields and prices move in opposite directions.

Trump announced on Saturday that eight European allies would face increasing tariffs, starting at 10% on Feb. 1 and rising to 25% on June 1, if a deal is not reached that allows Washington to “buy” Greenland, a semi-autonomous Danish territory. The tariffs would potentially target Denmark, Norway, Sweden, France, Germany, the U.K., the Netherlands, and Finland, Trump said.

On Tuesday, Trump also threatened to slap 200% tariffs on French wine and champagne after France’s President Emmanuel Macron was reported to be unwilling to join his “Board of Peace” on Gaza.

U.S. 30-year Treasury yield jumps 9 basis points higher as trade war fears reignite

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