Treasury yields are surging despite stock-market chaos. Investors are worried.

The carnage in the stock market following President Donald Trump’s April 2 unveiling of sweeping tariffs on virtually all U.S. trade partners has been extraordinary — but it’s a historic surge in long-term Treasury yields, which would normally be expected to fall when financial markets are in disarray, that’s really raising eyebrows.

In fact, the rise in yields, which move opposite to prices, and other signs of stress in the bond market were seen as a key reason why Trump moved earlier this week to pause a large portion of those tariffs. But the partial tariff climbdown doesn’t appear to have soothed bond-market worries..