Long-Dated Bond Rout Lifts US 30-Year Yields Toward Crisis-Era Peaks

Bloomberg reports the yield on the US 30-year Treasury jumped to about 5.29%, the highest since 2007, as a broad bond selloff driven by mounting national debt, heavy long-dated supply, and inflation sticking well above the Fed’s target pushes long-term rates higher. Last week’s 30-year auction yielded 5.216% (the highest for such an auction since 2001) and a 10-year sale also faced elevated financing costs, even as data suggested some inflation cooling and softer payrolls/retail figures. The move deepens the yield curve’s steepening as investors demand more compensation for long-duration debt amid high issuance and debt concerns, with inflation still around 3.4% YoY and Fed-rate pressures likely to stay elevated.