U.S. Yields Hit 4.83% as Oil Surges Past $101
U.S. Treasury yields have surged to multi-year highs, with the 30-year note hitting 5.35% and the 10-year topping 4.9%, driven by strong PPI data, oil prices above $100, and the ECB's rate hike. Market pricing for a September Fed rate hike has consequently jumped to over 70%, with the upcoming August CPI release seen as the decisive catalyst.
The 30-year U.S. Treasury yield has hit 5.35%, its highest level since 2007, while the 10-year benchmark crossed 4.9% amid hot PPI data and crude oil gains, as reported by GN auto markets/bonds: treasury yields. BMO Capital notes that a temporary break above the 5.0% mark for the 10-year note is now within the realm of possibility.
Source: GN auto markets/bonds: treasury yieldsPer GN auto markets/bonds: treasury yields, CME FedWatch odds for a rate hike at the next meeting have jumped to 71.6% from 61.2% on Wednesday, while the 10-year Treasury yield has climbed to 4.951%. The ECB also hiked its benchmark rate to 2.5% on Thursday, citing persistent inflation pressures linked to the U.S.-Iran conflict and energy shocks.
Source: GN auto markets/bonds: treasury yieldsInvestor's Business Daily reports that small-cap stocks are under particular pressure while major indexes decline, with META, QLYS, and KNSA highlighted as key names in focus. The outlet also notes that market breadth is narrowing as investors navigate the volatility driven by rising yields and energy costs.
Source: GN auto markets/indices: stock indexTreasury yields climbed to a multi-year high while crude oil prices broke through the $100 mark, dragging major equity indices lower.
Source: GN auto markets/bonds: sovereign debt
