On Friday, the yield on the benchmark 10‑year U.S. Treasury note slipped below the 5 % level, reversing earlier gains as investors moved out of artificial‑intelligence‑driven technology stocks and into government bonds.
The decline followed a sharp sell‑off in tech shares that analysts linked to growing concerns over AI‑related hype and valuation pressures, prompting a flight to the safety of Treasury securities.
The 10‑year Treasury yield is a widely watched gauge of borrowing costs for mortgages, corporate loans and other credit markets; a rate under 5 % typically signals a risk‑off stance among investors.
Earlier in the week, the yield had risen above the 5 % threshold, but the AI‑driven tech sell‑off pushed it back down, keeping it below that mark on Friday.
Market participants are likely to monitor upcoming economic data and earnings reports for further signs of whether the risk‑averse sentiment will continue to influence Treasury yields.
<small>Source: CNBC — read the original story there.</small>