William Watts

Sat, May 24, 2025, 5:30 AM6 min read

President Donald Trump ended the week on a grumpy note, rattling his tariff saber — and stock-market investors — on Friday as he threatened levies on Apple Inc. and the European Union. But for all the renewed trade drama, it was moves in the bond market that have been the center of attention.

Specifically, it was a sharp move higher this week in the yield on the 30-year Treasury bond BX:TMUBMUSD30Y, which on Thursday hit 5.15%, just shy of its intraday high from October 2023 near 5.17%, before falling back, that was front and center. It ended Friday at 5.036%, up 14.1 basis points for the week and has risen nearly 30 basis points over the last four weeks, according to Dow Jones Market Data. Yields and bond prices move opposite each other.

• My daughter’s boyfriend, a guest in my home, offered to powerwash part of my house — then demanded money

• I’m hosting a Memorial Day barbecue. Would it be so bad to ask my guests to make financial contributions?

• ‘Is this a good tax strategy or a sham transaction?’ My mother wants to give me her home. I have a plan to avoid taxes.

• My ex-wife said she should have been compensated for working part time during our marriage. Do I owe her?

• ‘He’s lied to us all’: My father is leaving my sister, brother and me a $450K lakefront property. We want to cut my brother out.

The S&P 500 SPX on Tuesday snapped a six-day winning streak, falling for the next four sessions to log a 2.6% weekly decline, its steepest since the week ended April 4. The Dow Jones Industrial Average DJIA dropped 2.5% for the week.

Wary investors fear yields are rising to levels that could spell further pain for stocks and other assets.

The rise was tied to jitters around Trump-backed tax and spending legislation, which he has dubbed the “big, beautiful bill,” which eked out passage by a single vote this week. The bill is seen adding to a deficit that was already causing agita, with its passage coming just after Moody’s last Friday stripped the U.S. of its last triple-A credit rating, citing expectations U.S. deficits and interest payments on existing debt are sure to continue rising in the years ahead after decades of fiscal neglect.

A poorly received 20-year U.S. Treasury bond auction on Wednesday amplified the concerns on Wednesday, highlighting worries over demand in the face of rising supply. The jump in Treasury yields spilled over to stocks, leaving major indexes sharply lower.

“Bond investors worry about Trump’s ‘big, beautiful’ tax bill and the impact it will have on the U.S. overall deficit. You should too,” said Giuseppe Sette, co-founder and president of AI market research firm Reflexivity, in an email.