US Treasury yields edge up after AI and oil jitters

US Treasury yields rose slightly on Friday morning, with the benchmark 10-year yield up 2 basis points to 4.9779%, following a sharp decline the previous day when it fell below 5% for the first time in a month. The 10-year yield dropped 17 basis points on Thursday to 4.972%, its largest one-day fall since March 2023, as investors sought safe havens amid concerns over AI-related financing and geopolitical risks. Bank of America strategists expect further declines in stocks, yields, and the dollar until mid-November. Oil prices climbed over 1% to above $100 per barrel for WTI after Houthi attacks on Saudi facilities, raising inflation concerns that could limit Federal Reserve policy flexibility. Investors are also awaiting next week's Fed decision and Friday's PMI data.