Bond markets slide again, Micron earnings help tech stocks
TLT•Global bond markets sold off, with the U.S. 10-year Treasury yield reaching 5.34%, its highest since 2002, before easing to 5.28%. Micron’s long-term supply agreement commitments rose to $32 billion from $22 billion in June, supporting tech stocks.
1. Bond yields climb
U.S., French and British government bonds sold off sharply on Thursday before yields steadied. The U.S. 10-year Treasury yield reached 5.34%, its highest since 2002, before falling to 5.28%; it gained 87 basis points in the July-September quarter, its biggest quarterly rise since 1994. France’s 10-year yield briefly reached 4.96%, while Britain’s 30-year yield moved above 6%.
2. Micron lifts tech shares
Micron earnings signalled strong demand for AI memory chips, with financial commitments under long-term supply agreements at $32 billion, up from $22 billion in June. Japan’s Nikkei rose more than 3% and South Korea’s KOSPI gained 1.7%. Traders priced in a 38% chance of a Federal Reserve rate hike in October, down from 50% a day earlier, after softer-than-expected U.S. inflation data.
