US bonds rise as tariff respite for China eases inflation fearsTreasuries rallied as fears that Donald Trump’s policies will fuel inflation eased, after the US president refrained from imposing China-specific tariffs for now.
The 10-year US yield fell as much as 10 basis points to 4.53% on Tuesday, as the market reopened after a US holiday. Meanwhile, the dollar rallied as Trump said he still plans to impose 25% tariffs on Mexico and Canada from next month, which sent currencies from both countries tumbling over 1%.