Global Bond Selloff Rocks Equities; Hong Kong Stocks Show Relative Resilience — BigGo Finance

• A recent surge in US long-term Treasury yields has triggered a bond market selloff, causing concern among equity investors regarding the stability of the stock market. • Technical analyst Mark and other experts identify five resilience signals, including a VIX-to-VVIX ratio of 0.17 and the continued strength of financial stocks during yield curve steepening.

• The U.S. 30-Year Treasury yield reached a 19-year high, hitting 5.30% as of August 17. • This surge was driven by mounting concerns over inflation, increased debt issuance, and rising oil prices.

• The U.S. Treasury Department unexpectedly doubled its planned purchases of longer-term bonds on Wednesday to stabilize the market. • This intervention follows a surge in bond yields, which recently reached their highest levels in nearly two decades.

• Toumas Malinen, a professor specializing in financial crises, warns that the US economy is currently dangerously close to entering a recession. • In contrast, economists at the Atlanta Fed provide a more optimistic outlook, estimating that GDP will expand by 4% over the third quarter.

• U.S. Treasury yields for 10-year and 30-year notes plunged on Wednesday following the Treasury Department's announcement of expanded liquidity-support buybacks. • The department plans to double the scale of these buybacks to improve market functioning and ensure smoother trading of older securities.

• The US Treasury has announced plans to increase its purchases of long-term government bonds to stabilize the financial market. • This strategic shift comes as Washington expresses growing concern over a sharp rise in borrowing costs that could pressure the economy.

• Long-term U.S. Treasury yields surged to their highest levels since 2007 on Tuesday, triggering a significant bond market sell-off. • In response to the volatility, the Treasury Secretary doubled the government's buyback of debt to stabilize the market.

• Global markets rallied and government bond yields fell after the U.S. Treasury Department announced it would double the amount of debt it can buy back from investors. • This strategic move aims to reduce stress among bond investors by managing the supply of government debt more effectively.

• Recent economic indicators suggest the US economy remains strong despite a few isolated data points showing a slight cooling trend. • Analysts argue that these minor fluctuations are not indicative of a broader decline in consumer demand or systemic economic weakening.

• Treasury Secretary Scott Bessent has increased the buyback of long-term U.S. debt to address market dislocations. • The move comes as Treasury yields have reached their highest levels in several years, with Bessent specifically monitoring 10-year yields as a key financial benchmark.

• Global bond yields are rising, creating a "bond rout" that increases borrowing costs for investors and consumers. • A significant divergence has emerged between the bond market, which signals growing economic anxiety, and the stock market, which remains largely optimistic.

• India's benchmark Nifty 50 and Sensex indices have declined by 7.9% and 9.8% respectively year-to-date. • The downturn is driven by crude-oil-induced inflation and a record $25 billion in foreign capital outflows.