A sell-off in AI stocks spurred safe-haven buying of government bonds, pushing yields lower. US 10-year Treasury yield fell 10bps to 5.089%. Germany 10-year bund yield dropped 8.5bps to 3.3819%, the lowest since Sept 9. France 10-year yield fell 11.5bps to 4.7619%, the lowest since Oct 6. Italy 10-year yield declined 10bps to 4.4657%, the lowest since Sept 23. TD Securities senior rates strategist Prashant Newnaha said: “US CPI unexpectedly rose, yet bonds rallied — the most plausible explanatio

A sell-off in AI stocks spurred safe-haven buying of government bonds, pushing yields lower. US 10-year Treasury yield fell 10bps to 5.089%. Germany 10-year bund yield dropped 8.5bps to 3.3819%, the lowest since Sept 9. France 10-year yield fell 11.5bps to 4.7619%, the lowest since Oct 6. Italy 10-year yield declined 10bps to 4.4657%, the lowest since Sept 23. TD Securities senior rates strategist Prashant Newnaha said: “US CPI unexpectedly rose, yet bonds rallied — the most plausible explanation is the AI-sector plunge is lowering market growth expectations, making bonds a hedge against equity risk.”