Donald Trump has made it a priority during his presidency to decrease bond market yields. The tariffs imposed by Trump have led to a significant sell-off in bond markets, indicating a decline in the appeal of US assets as a safe haven for investors.

Despite the ongoing losses in global stock markets, US government bonds, which are traditionally viewed as a safe investment during turbulent times, experienced a sell-off recently. This situation puts pressure on President Trump, who aims to lower bond market yields as a way to impact government borrowing costs.

The surge in 30-year Treasuries yield by 0.25 percentage points to a level last seen in November 2023 has caused concern. This increase in yields contradicts the typical trend where bond yields decrease when investors seek safety. The simultaneous rise in yields and drop in stock prices suggest a lack of investor confidence in the market.

Experts note that the aggressive sell-off in US Treasury markets is signaling a potential shift away from their traditional safe-haven status. The rapid increase in yields is also impacting global borrowing costs, with the 10-year US bond yield rising significantly in a short period.

The surge in UK government borrowing costs, due to Trump's tariffs potentially destabilizing the UK's finances, has raised concerns. The 30-year UK gilt yield increased sharply in response to these uncertainties, highlighting the impact of global economic changes on national debt management.