While the earnings season is affecting investors worldwide in the markets, another issue that is taking place in the minds of investors is the increase in returns. On Tuesday, the US 10-year Treasury yield jumped 3 percent, extending its gains on Wednesday.
Investors around the world have recently been fixated on the 10-year earnings yield, with fears that the 3 percent barrier could trigger a reaction from financial markets both in the US and internationally.
While the breakthrough of the psychological barrier initially triggered a negative reaction from the markets on Wednesday, the indexes have since shown signs of recovery. In the US, stocks ended the most on positive gains, while markets in Asia were relatively mixed.
Rising yields make market participants wonder what this means for the global economy, and many expect higher central bank rates
Looking ahead to Thursday's session, investors will focus on Frankfurt, where the European Central Bank ( ECB) will announce its recent monetary policy decisions, followed by a press conference. [1
Other topics Draghi can build on the bond market, trade, economic data and the Euro. The Central Bank's interest rate decision is scheduled for 12:45 London time (7:45 ET), followed by the conference, which begins at 13:30. London time (8.30 ET).