Asian stocks have advanced as U.S. Treasury yields eased after a rocky week due to worries in the bond market over mounting U.S. government debt.

The downgrade of the country’s credit rating by Moody’s hurt investor confidence. So has trade policy, and ballooning federal debt.

The Treasury plans to auction $16 billion of 20-year bonds, with results due just after 1 p.m. Eastern. The offering will mark the first auction of longer-duration Treasury bonds since Moody’s on Friday became the third and final rating agency to strip the U.S. of its top Triple-A credit rating.

The Philippine central bank may consider reducing its holdings of US Treasuries after Moody’s Ratings downgraded the US’ credit score, according to Governor Eli Remolona.

The bond market is flashing a warning sign about the economy. Treasury yields continued their ascent in early trading, with 30-year yields touching 5.117%. On Wednesday, they settled at their highest level since 2023.

Investors in stocks on Thursday are getting a bit of a reprieve from the recent march higher in bond yields, but the benchmark 10-year Treasury rate was still near 2007 levels. While it was 3 basis points lower Thursday,

The market’s latest “most important event of all time” came and went on Wednesday, triggering a sharp pullback in U.S. stocks, a spike in Treasury bond yields, and a fresh round of angst among global investors.

Investors have focused this week on a selloff in the Treasury market. But it hasn't affected all Treasurys. Short-term debts, like the 2-year note, have been stable. Only longer-term instruments, like the 10-year note and 30-year bond,