10-year Treasury yield hits 4.91%, highest since 2023, as oil jumps to $105
This digest was compiled by AI from multiple sources — links to the originals are below.
The 10-year U.S. Treasury yield rose to 4.91% on Thursday, its highest level since 2023, while the 30-year yield climbed to 5.35%. Brent crude oil jumped to $105 per barrel, adding pressure on bond prices. The moves come as markets increasingly price in a Federal Reserve rate hike at next week's policy meeting.
Key Facts
- The 10-year Treasury yield rose to 4.91% on Thursday, its highest level since 2023.
- The 30-year Treasury yield climbed to 5.35%.
- Brent crude oil jumped to $105 per barrel.
- Markets are increasingly pricing in a Federal Reserve rate hike at next week's policy meeting.
- Treasury Secretary Scott Bessent's interventions, including an upsized bond buyback, have done little to bring long-dated yields lower.
Treasury Yield Surge
The 10-year Treasury yield rose to 4.91% on Thursday, its highest level since 2023. The 30-year Treasury yield climbed to 5.35%. Treasury prices, which move inversely to yields, were under pressure as Brent crude oil jumped to $105 per barrel. Wholesale inflation advanced largely in line with expectations.
Market Drivers
The market has increasingly been pricing in a Federal Reserve rate hike when policy makers meet next week. Interventions from Treasury Secretary Scott Bessent, including an upsized bond buyback, have done little to bring long-dated yields lower. Yields globally have been rising amid ballooning government spending and rising inflation. Investors have demanded a higher risk premium in order to hold long-dated government debt. Increasing AI spending has also created mounting corporate bonds, competing for investments.
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