investingLive European session wrap: Dollar firms as Treasury yields threaten fresh 2002 highs

Why it matters

SPY (SPDR S&P 500 ETF) · Why linked: Rising 10-year Treasury yields at 5.33% (highest since 2002) and a firming dollar are pressuring equities broadly. Market context: Higher yields and elevated yields tend to weigh on equity multiples, with stocks feeling a pinch as described in the wrap.

TLT (20+ Year Treasury) · Why linked: The 10-year yield is threatening fresh 2002 highs, directly implying heavy losses for long-duration Treasury holdings. Market context: Surging yields continue to push long-dated bond ETF prices higher; the trend remains a headwind for duration.

DXY (US Dollar Index) · Why linked: The dollar hit a three-month high as Treasury yields surged, making DXY a direct beneficiary of the rate move. Market context: Higher U.S. yields are supporting the dollar at multi-month highs versus major peers.

EUR/USD (Euro / US Dollar) · Why linked: EUR/USD cracked key support as the dollar firmed and European rates lagged the U.S. surge. Market context: A firming dollar and weaker euro rates push the pair below key technical support, implying continued euro weakness.