10-year Treasury yield rises to highest since 2007 as Fed rate-hike expectations rise
Traders priced in a 93% chance of a quarter-point rate hike as oil-driven inflation worries and bond selling lifted yields.
- On Tuesday, the U.S. 10-year Treasury yield climbed to 5.025%, marking the highest intraday reading since 2007 as government debt sell-offs deepened ahead of the Federal Reserve's interest-rate decision.
- Surging oil prices, driven by supply concerns surrounding Saudi Arabia's East-West pipeline, revived inflation worries and pushed yields upward in recent weeks.
- CME FedWatch pricing places the probability of a quarter-point rate increase at roughly 93%, while Treasury data showed the 20-year yield at 5.37% and the 30-year yield at 5.34% on Sept. 14.
- The Federal Reserve began its scheduled Sept. 15-16 policy meeting, with officials set to release an updated Summary of Economic Projections at 2 p.m. ET on Wednesday, Sept. 16.
- Bitcoin rebounded above $78,000 amid pressure on risk assets, while OCBC analyst Christopher Wong told Reuters that "higher oil, higher U.S. yields and weaker risk appetite" helped lift the dollar.
33 Articles
33 Articles
A new wave of turmoil is being recorded in international bond markets, with the yield on the 10-year US Treasury bond exceeding the critical 5% threshold and reaching 5.02%, the highest intra-session level since 2007. The yield then fell as buyers appeared, but the move is another episode in the prolonged sell-off that has hit global government debt markets. The rise is attributed to a combination of factors, including higher energy prices, pers…
The US 10-year rate, the global benchmark for the bond market, rose to 5.02%, to its highest level since 2007.
Watch Bond Markets: 10-Year Treasury Yield Rises to Highest Since 2007
Yields on the benchmark 10-year Treasury note rose to the highest level since 2007 as a rally in oil prices fueled inflation concerns and strengthened bets on a Federal Reserve interest-rate hike. Bloomberg MLIV's Ven Ram has the latest.
The yield on the US 10-year Treasury note has risen to a level not seen since 2007, above 5%. The increase in yields is due to the combined effect of several factors: a national debt of nearly 120% of GDP, a budget deficit of 5-6%, and President Donald Trump's continued spending, which is making the supply of bonds increasingly difficult to absorb. Inflation risks are further exacerbated by high oil prices due to the Iran war, while the US econo…
The income of the ten-year U.S. national alliances on Tuesday peaked since 2007, against the backdrop of continued increases in oil quotations and the expectation of an increase in the Federal Reserve's base interest rate.
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