Finance

A broad fixed-income selloff pushed the 2-year U.S. Treasury yield to 4.741%, marking its highest point since July 2024. Meanwhile, the benchmark 10-year Treasury yield temporarily hit the 5.00% milestone before settling just below it. Investors are adjusting to the reality of persistent inflation and pricing in a high probability of another quarter-point rate hike from the Federal Reserve before the year ends.

Cryptocurrency markets demonstrated resilience as Bitcoin hovered in the late $77,000 range following a highly anticipated interest rate hike from the Federal Reserve. Digital assets managed to sustain a relief bounce even after the CLARITY Act collapsed in the U.S. Senate due to bipartisan disputes over political ethics guidelines. Industry leaders indicate that the sector will continue navigating regulatory frameworks through direct interaction with the SEC and CFTC rather than counting on imminent legislative breakthroughs.

A significant wave of pessimism has swept through Wall Street, with the American Association of Individual Investors reporting that bearish sentiment among retail investors surged 14 percentage points in a single week to 53%. This represents the highest level of market anxiety documented since May of last year. In contrast, bullish sentiment plunged down to under 29% as market participants grow increasingly worried about multi-year high bond yields and volatile energy commodities.