President Donald Trump announced over the weekend that smartphones, computers, electronic devices and components including semiconductors are exempt from reciprocal tariffs.
The White House said late Friday that the exemptions were made because Trump wants to ensure that companies have time to move production to the U.S. However, Trump suggested on Sunday that the exemptions aren’t permanent.
The moves come after a week of unusual volatility in the bond market, with the 10-year yield rising more than 50 basis points — one of the biggest two-day increases on record. Yields continued to rise even after Trump announced a 90-day tariff pause on goods from other countries last week. While the 10-year yield briefly dipped on the news, it still scaled back above 4.5% on Friday.
Once a safe haven asset, some traders are now speculating whether foreign investors including Japan and China will dump their Treasury holdings.
