Tech stock selloff sparks safe-haven demand, US Treasuries rally alongside global bonds

During Friday's Asian session, the rally in US Treasuries accelerated as American tech stocks were sold off and investors turned to US government bonds for safety. Yields across all tenors of US Treasuries fell by at least 3 basis points, extending the downward trend from the New York session. Bonds in Australia, Japan, and New Zealand followed suit, with their respective benchmark 10-year government bond yields falling more than 5 basis points. Safe-haven sentiment heated up following disappointing earnings from tech giants like Alphabet, further fueling market skepticism regarding the sustainability of the AI trade. In October, yields on the benchmark 10-year US Treasury have fallen nearly 40 basis points, poised to record a first monthly decline since February.