US Treasury Yields Surge, Dashing Hopes Bond Selloff Is Over

The significance here lies in the breakdown of Treasuries' safe-haven behavior: yields kept climbing even as equity risk sentiment was rattled, which matters for crypto and RWA markets that have leaned on the "digital hedge" or "collateral upgrade" narratives. Stubborn inflation, hawkish Fed messaging, and heavier debt supply are all supply-and-policy pressures rather than a single shock, so the move looks structural rather than a one-off. The open question is whether the correlation between risk assets and duration keeps tightening, and whether that erodes the case for tokenized Treasuries as a diversifier.