The market is losing confidence in US policy making and the economy, with investors fleeing US assets in large numbers.

On April 12th, currently, the U.S. Treasury yield has surged to its highest level since February of this year. In the $29 trillion U.S. Treasury market, there has been a sharp sell-off, which has aggravated the deterioration of liquidity. The U.S. 10-year Treasury yield has jumped by 0.19% to 4.58%. The U.S. Treasury, which is traditionally regarded as the ultimate safe haven in the global financial system, is falling into a more serious distress. Earlier this week, the U.S. Treasury yield was below 3.9%. However, Trump's capricious tariff policy has shaken market confidence in U.S. policymaking and the economy, triggering a large-scale withdrawal of investors from U.S. assets. Peter Tchir, the head of macro strategy at Academy Securities, said, "If you are a foreign holder, there is indeed pressure to sell U.S. Treasuries and corporate bonds globally. What the world is truly worried about is that they don't know what Trump is going to do." According to the Bloomberg U.S. Treasury Index, the sell-off on Friday led to the worst week for U.S. Treasuries since 2019, accompanied by a decline in the U.S. dollar. A senior executive in the bulk services division of a European bank said, "We are concerned because the trend you see indicates that this is not a normal sell-off; people have completely lost confidence in the world's strongest bond market." (Golden Finance)