The US 10-year Treasury yield reached 4.818% before closing at 4.782%, while China’s 10-year government bond yield held at 1.69%, widening the spread to 312 basis points, three basis points below the roughly 315-basis-point record reached in early 2025. The divergence reflects Federal Reserve pressure to address persistent inflation as the People’s Bank of China keeps borrowing costs low to support a fragile recovery. The broader market briefing also highlighted sharp KOSPI volatility, higher oil prices, and accelerating demand and supply constraints across AI chips, data centers and optical networks.