US 10-year Treasury yield hits 4.8 percent
US 10-year Treasury yields are hovering near 4.98% as a global bond selloff driven by oil prices above $100 and hawkish central bank signals intensifies. With G7 yields posting their worst weekly performance since the war began, markets are bracing for US CPI data that could push the benchmark past the critical 5% level.
New details from GN auto markets/bonds: treasury yields highlight that G7 benchmark 10-year yields have averaged a nearly 19-basis-point rise this week, marking their worst weekly selloff since the Middle East conflict began. Strategists warn that if tonight's US CPI data comes in strong, the 10-year Treasury yield is likely to breach the critical 5% threshold for the first time since late 2023.
Source: GN auto markets/bonds: treasury yieldsAccording to GN auto markets/bonds: bond yields, the 10-year Treasury note is currently trading at 4.97%, with analysts warning that a strong upcoming US CPI print could push yields decisively above the 5% threshold. Concurrently, Australian 3-year government bond yields have spiked to a 15-year high of 5.047% as the global selloff intensifies.
Source: GN auto markets/bonds: bond yieldsPer GN auto markets/bonds, Brent crude has surged to a four-month high of $109.97 amid renewed Middle East supply disruptions, driving market odds for a Federal Reserve rate hike to 72%. Strategists warn that if oil prices remain above $100, a 10-year yield breach of 5% becomes likely, while the 2-year Treasury yield has already hit its highest level since July 2024.
Source: GN auto markets/bonds: bond yieldsAccording to Moomoo, the 10-year yield has edged up to 4.97% while the 30-year bond hits its highest level since 2007, driven by a convergence of energy inflation, robust labor data, and concerns over fiscal expansion. The report notes that market odds for a Fed rate hike next week have risen to approximately 70%, pressuring AI-heavy tech names like NVIDIA and Micron.
Source: GN auto markets/bonds: bond yieldsEquities have responded to the bond market pressure, with the Dow Jones Industrial Average slipping 0.3% and the Nasdaq dropping 0.5% as investors weigh the impact of the 10-year yield surging to 4.91%. According to reporting from Proactive financial news, this sell-off is further compounded by oil prices holding above $100 a barrel and disappointing guidance from Macy's.
Source: GN auto markets/bonds: treasury yieldsThe 10-year US Treasury yield reached 4.8 percent on Wednesday. This marks the highest level since 2023.
Source: GN auto markets/bonds: bond market
