It’s as if clockwork. The yield on the 10-year U.S. Treasury bond has surpassed 4.50% for the first time since June 2025. This is the same level that triggered Trump’s “90-day tariff pause” in April 2025. Meanwhile, the next move anticipated from the Fed is now an interest rate hike. As a result, the average U.S. 30-year mortgage rate is nearing 7%, and inflation has reached its highest level in three years. Overnight, the policy of “higher for longer” has made a comeback. How long will this last?
