U.S. Treasury yields hit highest mark since 2007 amid economic worries
by Joe Fisher · UPIMay 19 (UPI) -- The 30-year U.S. Treasury yield rose six basis points to about 5.2% on Tuesday, its highest level since 2007.
The yield on 10-year U.S. Treasury notes also increased to 4.687%, the highest since January 2025. This has an influence on mortgage rates and auto loans.
Two-year Treasury yields are also at their highest mark in more than a year.
The U.S. Treasury sets the benchmark for the cost of borrowing.
Concerns about the U.S. economy, inflation and the war in Iran's impact on energy are contributing factors that may see the cost of borrowing rise. Oil and gas prices have reached their highest level in four years.
Thirty-year bond yields were on the decline heading into October before beginning to climb again. Since the start of the Iran war on Feb. 28, 10- and 30-year yields have increased at a more rapid rate.
The Dow Jones fell by 0.46% Tuesday while the Nasdaq fell 1.1% and the S&P 500, 0.7%.
Most respondents to a Bank of America survey published on Tuesday expect that the 30-year U.S. Treasury yields will reach 6%. It would be the highest rate since 1999.
Investors around the world have been selling off bonds with Japan's and Britain's 30-year bond yields reaching new highs. In Japan, the 30-year yield is at an all-time record. Britain's 5.773% yield is the highest in 30 years.
This week in Washington
Vice President JD Vance speaks during a news conference on anti-fraud initiatives in the Indian Treaty Room of the Eisenhower Executive Office Building at the White House on Wednesday. Photo by Daniel Heuer/UPI | License Photo