Raw Story: 'Only happened a handful of times': Analyst sounds alarm at rare economic 'red flag'

[Dennis Donovan]

Raw Story - 'Only happened a handful of times': Analyst sounds alarm at rare economic 'red flag'

Daniel Hampton
April 11, 2025 6:50PM ET

A massive sell-off in U.S. bonds led a CNN analyst to sound the alarm about a rare "red flag" as financial markets reel.

The country saw a significant sell-off in U.S. bonds this week, driven by concerns over President Donald Trump's tariff policies and broader economic uncertainty. The yield on the 10-year Treasury note surged to as high as 4.53%, marking its highest point since February and a dramatic increase from Monday’s low of 3.87%. This reflects a sharp decline in bond prices, as yields and prices move inversely.

Allison Morrow, a senior writer for CNN Business, told anchor Jake Tapper on Friday afternoon that tens of trillions of dollars come into the U.S. from all over the globe.

"That asset, that bond, is considered to be one of the safest places any investor can put their money because it is backed by the full faith and credit of the U.S. government," she told viewers. "Ultimately a U.S. bond, a treasury, is a safe haven."

This, she said, is "important" to what happened this week.

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[markodochartaigh]

1. "...full

faith and credit of the U.S. government."

Maybe it's just because I'm old, but the English language is changing so rapidly these days. It sure doesn't seem like words mean what they used to.

[sop]

2. "But what scares me is that every investor I speak with, even those who backed the president, gives me the same message:

If the bond market continues to drop, that will effectively bankrupt the country." - Stephanie Ruhle, host MSNBC's The 11th Hour, and NBC News Senior Business analyst.