Traders work on the floor of the New York Stock Exchange (NYSE) on February 13, 2026 in New York City.
Spencer Pratt | Getty Images
U.S. Treasury yields have fallen since the beginning of the week as investors weigh President Donald Trump’s latest tariffs after the U.S. Supreme Court struck down most of them on Friday.
of 10 year treasury Yield fell 6 basis points to 4.025%. The yield on the 30-year government bond fell by more than 3 basis points to 4.689%. The yield on two-year government bonds also fell by more than 3 basis points to 3.444%.
One basis point equals 0.01%, and yields and prices move in opposite directions.
The Supreme Court on Friday struck down most of President Trump’s “reciprocal” tariffs in a 6-3 ruling that found the president had unfairly used the International Emergency Economic Powers Act (IEEPA) to enforce the tariffs. They said the law underlying the import tariffs “does not authorize the president to impose tariffs.”
Nevertheless, President Trump retaliated on Saturday, announcing that he would increase tariffs worldwide from 10% to 15%. He also said the new tax rate would take “immediate effect” and additional levies would be applied thereafter.
“As President of the United States, effective immediately, I will increase the 10% global tariff on countries that have been ‘stripped’ from the United States for decades (until I took office!) to the fully authorized and legally verified 15% level without retaliation (until I took office!),” Trump said in a post on Truth Social.
Trump further exacerbated investors’ risk-off stance on Monday, saying countries that plan to “play games” in the wake of the Supreme Court’s rebuke “will be subject to tariffs that are much higher, or even worse, than the ones we recently agreed to.”
“Sometimes the market just wants an excuse to sell a little bit,” said Stephen Tuckwood, investment director at Modern Wealth Management. “What we are encouraged by is the very successful response from the US dollar and the 10-year Treasury, which is very different from the original tariff announcement last April.”
In early April 2025, the yield on the 10-year U.S. Treasury briefly fell below the 4% level after President Trump announced his first wide-ranging tariff policy. USDTuckwood believes there is something “too big to worry about here.”
In addition to closely monitoring the latest tariff developments, investors are awaiting economic data this week, including Friday’s release of the producer price index.
