Treasury Yields Climb to Multidecade Highs as Oil and Inflation Fears Mount
publishers 25articles 42first reported 23 Sep, 17:07 UTCdeveloping since 23 Sep · 9 editions
U.S. Treasury yields rose Monday, extending a volatile climb as higher oil prices, inflation concerns and pressure across global government bond markets weighed on bond prices.
The benchmark 10-year Treasury yield gained more than 5 basis points to about 5.234%, while the 30-year yield rose roughly 5 basis points to 5.552%, CNBC reported. The 2-year yield advanced more than 6 basis points to 4.926%. The 10-year yield was near its highest level since 2007, while the 30-year yield reached levels last seen in 2004.
West Texas Intermediate crude traded around $92 a barrel as Middle East tensions kept energy prices elevated. Investors were also awaiting U.S. labor-market, inflation and economic-growth data that could shape expectations for the Federal Reserve’s next interest-rate decision. Reports due during the week included job openings, nonfarm payrolls, unemployment, core personal-consumption expenditures and quarterly gross domestic product.
The increase in borrowing costs has renewed concern about the federal fiscal outlook. In a scenario requested by Sen. Jeff Merkley in which interest rates rise one percentage point above baseline projections, the Congressional Budget Office estimated that publicly held debt would reach 222% of GDP by 2056, 47 percentage points above its current baseline. The total deficit would rise to 14% of GDP, and economic growth would be 0.1 percentage point below baseline, according to figures cited by Fortune.
HOW THIS STORY WAS MADE
Written from 8 articles, 3 with the publisher's own text; 7 independent newsrooms once syndicated copies count as one; this version written 30 h after the record first saw the story; the editor kept it as written.
- Publishers
- 25
- Source articles
- 42
- Given to the writer
- 8, 3 with the article's own text
- Independent newsrooms
- 7
- This version written
- 30 h after the record first saw the story
- Second model (editor)
- kept as written
- Publication gate
- passed
- Human review
- none
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