10-Year Treasury Yield Drops to One-Month Low on Trump’s China Threat, Bond Market Sees One Rate Cut this Year, Deficit-Funding Shifts to T-Bills

The 10-Year Treasury yield fell by 11 basis points on Friday, much of it after Trump threatened to impose “a massive increase” of tariffs on Chinese imports in retaliation for China’s new export controls of rare earths, which caused stocks to tank and bond prices to jump, and as bond prices jumped, bond yields dropped.