30-year Treasury yield reaches highest level since 2004

U.S. Treasury yields moved higher on Thursday as investors increased bets that the Federal Reserve may raise interest rates again. The 30year Treasury yield rose above 5.43%, reaching its highest level since 2004, while the 10year yield climbed to its highest point since July 2007. The move came after a sharp selloff in bonds on Wednesday, driven by strongerthanexpected U.S. economic data, hawkish comments from a Fed official and elevated oil prices. Traders also raised the odds of another rate hike at the Fed’s October meeting, according to CME Group’s FedWatch tool. The broader bond selloff was not limited to the U.S. Yields on Japanese, U.K. and German government bonds also moved higher, with some reaching multiyear highs. Fed officials said further policy tightening could still be needed to bring inflation back toward target.