As of early trading on Friday, January 10, 2025, the benchmark 10-Year Treasury Note Yield (TNX) has continued to climb on a weekly basis following a recent breakout.
In an environment of rising rates, and with the 10-Year Yield potentially approaching the previous highs of October 2023 around 5.000%, this is likely to put pressure on high multiple growth stocks and bonds in general.
TNX – Weekly Chart
Looking at the ProShares UltraShort 20+ Year Treasury ETF (TBT), an inverse leveraged ETF that seeks daily investment results corresponding to two times the inverse (-2x) of the daily performance of the U.S. Treasury 20+ Year Bond Index, we can see the chart gaining strength as well.
ProShares UltraShort 20+ Year Treasury (TBT) – Weekly Chart
NASDAQ- Invesco QQQ Trust (QQQ) – Weekly Chart
Additionally, the NASDAQ, with its higher weighting in growth and technology stocks, has begun to pull back.
As we move further into January and deeper into 2025, it’s crucial to keep an eye on rising rates, as well as other indicators that could impact the broader equity and bond markets.
In the end, it’s all about monitoring trends.
And Market Rover is the perfect tool to monitor and track market trends throughout 2025!
Happy Trading!
