10-year German Bund Yield Turns Positive For The First Time Since Brexit

The yield on the 10-year German bond, known as the bund, turned positive Friday for the first time since June 23, the day of the U.K.'s vote to leave the European Union, amid a sharp global bond selloff that also pushed Treasury yields to their post-Brexit highs. In late morning trade, the 10-year bund yield was up 7.2 basis points to 0.006%, according to Tradeweb. Bond yields rise when prices fall and vice versa. One basis point is equal to one hundredth of a percentage point. The sharp selloff started on Thursday, following the European Central Bank's unwillingness to provide further monetary stimulus. The selling pressures continued on Friday, after hawkish comments by Federal Reserve officials, most notably Boston Fed President Eric Rosengren, who said the Fed could resume gradual interest-rate hikes as the risks facing the economy are more in balance. The yield on the benchmark 10-year Treasury note added 5.2 basis points to 1.671%, its highest level since June 23, the day of the Brexit vote.