U.S. 30-Year Treasury Yield Exceeds 5% Following Moody’s Credit Downgrade

The yield on U.S. 30-year treasury bills surpassed 5%, reaching an intraday high of 5.011%. This follows Moody’s downgrade of the U.S. credit rating due to rising deficits and interest expenses.

The last occurrence of the yield exceeding 5% was April 9.
Bitcoin is currently trading around $103,000 after a high of $106,000.
The previous highest closing yield was 5.11% on October 19, 2023, the highest since July 2007.
The U.K. became the second-largest foreign holder of U.S. Treasuries in March, with holdings of $779.3 billion.
China and Japan have reduced their U.S. Treasury holdings over the past year.
Growing U.S. deficits may lead to more bond issuance, increasing supply and pushing yields higher.
Nasdaq futures are down approximately 2%, indicating broader market risk-off sentiment.