# US 10-Year Treasury Yield Holds Below 5.1% Amid Global Stock Selloff

- URL: https://stocks.freetheai.org/news/us-10-year-treasury-yield-holds-below-5-1-amid-global-stock-selloff-33817b
- Published: 2026-10-16T02:52:35Z
- Category: macro; sentiment: neutral; impact: medium
- Symbols: [MARKET:US10Y](https://stocks.freetheai.org/symbols/MARKET-US10Y)
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The yield on United States 10 Year Government Bonds Yield (TVC:US10Y) held below 5.1% on Friday, trading at 5.081% following a sharp drop in the previous session. A broad global equity selloff spurred demand for government bonds as investors sought safety in fixed-income assets.

The shift in market sentiment comes as investors price in a potential slowdown in capital expenditures on artificial intelligence, an area that has been a significant growth engine for the US economy. Meanwhile, robust economic data from the United States has sustained expectations that borrowing costs could remain elevated.

Traders are closely monitoring upcoming central bank actions, with markets pricing in roughly a 72% chance that interest rates stay unchanged this month and a 92% probability of a rate hike in December. Cleveland Fed President Beth Hammack noted that more aggressive rate increases may be required if public inflation expectations rise noticeably.

## Key points

- US 10-year Treasury yields remained below 5.1% on Friday following a steep drop in the prior session.
- A global stock selloff drove safe-haven demand for government debt.
- Investors are anticipating a possible slowdown in capital spending on artificial intelligence.
- Futures indicate a 72% chance of no rate change this month and a 92% likelihood of a December Fed hike.
- Cleveland Fed President Beth Hammack warned that deteriorating inflation expectations could force aggressive rate hikes.

## Questions and answers

### Why did US 10-year Treasury yields hold below 5.1%?

Yields remained lowered as a global stock market selloff boosted safe-haven demand for government bonds, while investors weighed a potential slowdown in artificial intelligence spending.

### What are the current market expectations for Federal Reserve interest rate hikes?

Markets indicate roughly a 72% chance that the Federal Reserve will hold interest rates steady this month, with the likelihood of a December rate increase climbing to 92%.

### What did Fed President Beth Hammack say about future rate increases?

Cleveland Fed President Beth Hammack warned that the central bank might need to raise interest rates more aggressively if public inflation expectations deteriorate significantly.