Treasury Yields Hold at Multi-Year Highs

2026-09-24 10:05 By Joana Taborda 1 min. read

The yield on the US 10-year Treasury note topped 5.15% before retreating slightly to around 5.1% on Thursday, remaining at 2007-highs.

Meanwhile, the 30-year yield climbed above 5.44%, its highest level since 2004.

Borrowing costs have risen as oil prices moved higher amid elevated tensions between the US and Iran, while talks on the sidelines of the UN General Assembly have made little progress toward ending the conflict.

Higher energy prices are likely to add further pressure on inflation, particularly as US diesel prices hit a new record high.

Against this backdrop, traders have increased bets on further Fed tightening this year.

Markets are now pricing nearly a 64% chance of another 25 bps rate hike in October and more than a 48% probability of a similar move in December.

Recent comments from several Fed officials have also been perceived as hawkish.

Adding to pressure on the bond market, the September S&P Global PMI pointed to continued strength in US economic activity.



News Stream
Treasury Yields Hold at Multi-Year Highs
The yield on the US 10-year Treasury note topped 5.15% before retreating slightly to around 5.1% on Thursday, remaining at 2007-highs. Meanwhile, the 30-year yield climbed above 5.44%, its highest level since 2004. Borrowing costs have risen as oil prices moved higher amid elevated tensions between the US and Iran, while talks on the sidelines of the UN General Assembly have made little progress toward ending the conflict. Higher energy prices are likely to add further pressure on inflation, particularly as US diesel prices hit a new record high. Against this backdrop, traders have increased bets on further Fed tightening this year. Markets are now pricing nearly a 64% chance of another 25 bps rate hike in October and more than a 48% probability of a similar move in December. Recent comments from several Fed officials have also been perceived as hawkish. Adding to pressure on the bond market, the September S&P Global PMI pointed to continued strength in US economic activity.
2026-09-24
US 10-Year Yield Hovers at 19-Year High
The yield on the 10-year US Treasury note held around 5.11% on Thursday after surging 16 basis points in the previous session, remaining near its highest level since July 2007 as strong economic data heightened inflation concerns and strengthened expectations for further policy tightening. The rise in Treasury yields accelerated following a weak $70 billion auction of five-year notes. S&P Global data showed US private-sector activity expanded at its fastest pace in more than five years in September, with both the services and manufacturing sectors improving while facing stronger inflationary pressures. Several Fed officials have also reaffirmed support for last week’s rate increase while warning of persistent inflation risks. Markets are now pricing in around a 70% chance of a Fed rate hike in October, up from 55% a day earlier. Meanwhile, uncertainty surrounding US-Iran negotiations continued to keep oil prices elevated, adding further pressure to inflation expectations.
2026-09-24
10-Year Treasury Yield Surges 16bps
The yield on the 10-year US Treasury note surged up to 16 bps to above 5.12% on Wednesday, the highest since 2007, as strong economic data and high energy prices consolidated expectations of more rate hikes by the Federal Reserve. S&P Global data showed private-sector activity expanding at its fastest pace in more than five years in September, with both services and manufacturing improving. The survey also showed accelerating inflationary pressures across both sides of the economy. The data were combined with hawkish remarks from Iranian leaders on their conflict with the US and GCC states, dimming hopes that imminent diplomatic improvements could restore energy supply from the Middle East. Treasuries have also been pressured by soaring corporate debt supply, with AI companies issuing over $1.5 trillion this year. Hence, primary dealers showed signs of uneasy demand at auctions, with the latest 5-year note auction tailing 3.1bps, well above recent averages.
2026-09-23