A global bond selloff paused Friday afternoon, providing new support for U.S. stocks.
The 10-year U.S. Treasury yield in morning trading stood near its weekly intraday high of 5.224%, then dropped to about 5.18% as investors digest headlines about Iran-U.S. negotiations. Brent crude oil, the international benchmark, dropped about 3% below $97 a barrel. Stocks added to gains, led by the Dow industrials.
Crude prices have played a big role in how bonds have traded this week. The most actively traded Brent crude futures slipped following reports Thursday that U.S. and Iranian negotiators in New York are discussing a deal to reopen the Strait of Hormuz.
Friday morning, consumer sentiment numbers from the University of Michigan came in slightly higher than previously reported. Those figures kept inflation concerns front and center amid a potentially overheating economy.
Treasury yields are poised to end the week far higher than where they started, with the 10-year yield still hovering near 19-year highs.
All three major U.S. stock benchmarks are headed for weekly gains, led by the Nasdaq composite.
