Stories
US 10-Year Treasury Yield Soars to 5.05%, Highest Since 2007
- •The US 10-year Treasury note yield reached 5.05%, its highest level since July 2007, marking a 113 basis point increase from its March low.
- •The surge followed September's flash PMI data, which significantly surpassed forecasts, with the composite PMI hitting a five-year high, fueling expectations for another Federal Reserve rate hike.
- •The 2-year Treasury yield also climbed to a 27-month high amidst these developments.
- •US stock markets declined and oil prices rose as investors assessed the potential for a deal to end the Mideast war after President Donald Trump's comments on US and Iranian talks.
- •Brent North crude, the international benchmark, increased almost 2 percent to over $100 per barrel on Wednesday, as hopes for a quick resolution to Mideast tensions waned.
Key Questions Answered
The US 10-year Treasury note yield rose to 5.05%—its highest level since July 2007—after September's flash PMI data significantly exceeded forecasts, pushing up expectations of another Federal Reserve rate hike and driving the composite PMI to a five-year high.
US stock markets fell on Wednesday while oil prices rose, with Brent crude climbing almost 2 percent back above $100 per barrel, as investors weighed the chances of a deal to end the Mideast war following talks between US and Iranian representatives at the United Nations.
US President Donald Trump stated that US and Iranian representatives held very good talks at the United Nations, describing a three-hour meeting as very productive and noting that the two countries have another session scheduled in the very near future.
