Bond Dip-Buyers Rewarded on News of Greenland ‘Framework’ Deal

Investors who bought into this week’s Treasuries selloff are reaping the reward after President Donald Trump backed off his threat to slap new tariffs on European nations as part of his push to acquire Greenland.

Trump’s decision, which he announced Wednesday afternoon, helped flip the narrative against bond bears who’d been piling into options to protect against a deeper slump in US government debt. The worry, which pushed yields to the highest in months, was that a renewed trade war would lead foreigners to dump US debt. A plunge in Japanese bonds was another trigger for the declines.