Skip to content

What Is Driving The Global Bond Market Selloff

The 10-year U.S. Treasury yield rose to 4.601%, its highest level in 15 months, while the 30-year bond remained above 5.1%, according to market data.

Photo by Jorge Salvador / Unsplash

Treasury yields climbed further on Monday as investors reacted to mounting inflation fears, rising energy prices and growing concerns over government debt levels worldwide.

The 10-year U.S. Treasury yield rose to 4.601%, its highest level in 15 months, while the 30-year bond remained above 5.1%, according to market data. The move came as finance ministers and central bankers from G7 nations gathered in Paris to discuss the economic fallout from the Middle East conflict.

The report said investors are increasingly worried about stubborn inflation and higher borrowing costs under new Federal Reserve Chair Kevin Warsh. Treasury yields had already surged sharply last week after fresh data showed rising consumer prices and import costs.

Global bond markets also came under pressure. Germany’s 10-year bund yield and Japan’s government bond yields moved higher, while British gilt yields remained elevated amid political uncertainty in the U.K.

According to CNBC, rising oil prices linked to tensions in the Middle East are adding further pressure on central banks and global markets.

Also Read:

The Decision

Tehran Signals Doubts Over U.S. Negotiations

How The Iran Conflict Is Fueling Somali Pirate Attacks

What Did Xi Tell Trump About China’s Support For Iran

Comments

Latest

How Serious Is The Latest Ebola Outbreak In Africa

How Serious Is The Latest Ebola Outbreak In Africa

WHO declared the outbreak a “public health emergency of international concern” on Sunday. The agency said the rapid rise in cases across multiple health zones could signal a much larger outbreak than currently detected.

Members Public