10-year Treasury yield reaches highest level since 2002
U.S. Treasury yields surge as global bond sell-off pushes borrowing costs higher See why deficits, inflation and oil prices are rattling markets worldwide
U.S. Treasury yields rose sharply on Thursday as a broad global bond selloff continued. The 10year Treasury yield climbed to 5.3338%, its highest level since April 2002, while the 30year yield also moved to a level last seen in 2002. The 2year yield increased as well.
Higher yields can affect borrowing costs for mortgages, auto loans and credit cards. Analysts said the move reflected concerns about large government deficits, sticky inflation and ongoing interestrate pressures in major economies.
The rise was not limited to the U.S. German, French, Italian, U.K. and Japanese bond yields also moved higher, underscoring pressure across global debt markets. Oil prices were also cited as a factor, with traders watching the impact of Middle East tensions on inflation and bond volatility.