The 30-year U.S. Treasury yield has hit levels unseen since before the Global Financial Crisis, triggering a stock sell-off and raising concerns that a rate hike may be imminent.
The longer-dated 30-year yield briefly rose to 5.197%, its highest level since July 2007.
Rising Treasury yields spilled over into the housing market, with the 10-year U.S. Treasury note yield increasing by 4 basis points to 4.667%, its highest level since January 2025. The 2-year Treasury note yield, which responds to expectations of short-term Federal Reserve interest rate changes, last rose by 3 basis points to 4.12%.
A Bank of America survey published Tuesday showed 62% of global fund manager respondents expect 30-year Treasury yields to reach 6%, matching the highest level since late 1999 and rising about 85 basis points from current levels.
Prediction market traders see an increasing likelihood that the Federal Reserve may raise interest rates to address the bond market’s dramatic movements.
These growing fears of tighter monetary policy contributed to downward pressure on the S&P 500, which experienced its third consecutive negative session.
Investors are increasingly concerned that rising bond yields, combined with soaring oil prices, could threaten the bull market.
By CEO NA Editorial Staff
