Impact of Hamas Attack on U.S. Treasury Yield and Bitcoin Price

Introduction

The recent attack by Hamas on Israel on October 7th has had a significant impact on the U.S. 10-year Treasury yield and the price of Bitcoin. This article explores the changes in these two assets and the reasons behind them.

U.S. 10-year Treasury Yield

Prior to the attack, the yield on the U.S. 10-year Treasury note was at 4.9%. However, following the attack, the yield increased by at least ten basis points, reaching a higher level than before. This rise in yield indicates that investors have shifted their focus towards seeking safety in other assets, leading to a decline in the price of the 10-year note.

Bitcoin Price

In contrast to the U.S. Treasury yield, the price of Bitcoin has experienced a significant increase since the attack. Bitcoin has risen by 23% to $34,460. This surge in price suggests that investors are turning to Bitcoin as a safe haven asset amidst the geopolitical tensions caused by the attack.

Conclusion

The attack by Hamas on Israel has had a notable impact on both the U.S. 10-year Treasury yield and the price of Bitcoin. While the yield on the 10-year note has increased, indicating a decline in its price, Bitcoin has seen a significant rise in price. These changes reflect investors' search for safety and alternative investment options in the face of geopolitical uncertainties. It is important for investors to closely monitor these developments and consider diversifying their portfolios to mitigate risks.