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US Inflation Heats Up, 30Y US Treasury Yield Breaks 5%, Hits New High Since Oct 2023
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Amid investor concerns over a sharp rise in inflation triggering a global bond sell-off, and after US President Donald Trump renewed pressure on Iran to swiftly reach an agreement to end the Iran war, oil prices further extended gains. This pushed the 30-year US Treasury yield up by 4 bps at one point to 5.16%, marking the highest level since October 2023.

The 10-year and 2-year US Treasury yields also touched 4.63% and 4.10%, respectively, both reaching their highest levels since February 2025. Japans 30-year government bond yield also surged by 20 bps to 4.2%, the highest level since its introduction in 1999.

Related NewsPersonal Income MoM for Apr in United States is 0%, lower than the previous value of 0.6%. The forecast was 0.4%.
Bond traders have often viewed the 5% threshold for the 30-year US Treasury yield as a floor attracting bargain hunters. However, the recent sharp surge in long-term yields is challenging this traditional view and may push up global borrowing costs. (mn/da)
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