US 10-Year Treasury Yield Reaches 4.95% Record High Amid Rising Oil Prices
U.S. long-term bond yields hit multi-year highs as geopolitical tensions drive crude oil above $100 per barrel, while traders await Friday's consumer inflation data.
The 10-year U.S. Treasury note yield reached a record high of 4.95% on Friday, marking its highest level since October 2023. Bond markets had taken a breather after surging to these peaks during Thursday's session, with the metric jumping 11 basis points before stabilizing at 4.94% in early morning trades. This rally coincided with West Texas Intermediate crude futures exceeding $100 per barrel, the highest settlement price since May 19, fueled by escalating conflict between the U.S. and Iran. Simultaneously, the 30-year Treasury yield held steady at 5.35%, while the 2-year note remained flat at 4.56%. On Thursday, the Treasury Department purchased approximately $5.2 billion in off-the-run notes, intensifying selling pressure on bonds. Despite the volatility, futures linked to major U.S. stock indices showed marginal gains earlier Friday, with the S&P 500 futures rising 0.19% as investors looked ahead to the upcoming August consumer price index report. Meanwhile, South Korean equities led regional declines in Asia-Pacific, though Hong Kong's retirement fund assets reached HK$1.67 trillion by end-June.
