US borrowing costs hit 24-year high as global bond sell-off intensifies
Fears that US deficit is unsustainable also drive UK 30-year bond yields briefly above 6% for first time since 1998
TL;DR
- 10-year US Treasury yields reached their highest level since 2002 at 5.34%.
- 30-year UK bond yields hit 6% for the first time since 1998.
- Stock markets in London, Germany, and France saw significant drops.
- High oil prices and fears of persistent inflation are driving the sell-off.
- Concerns about government deficits and a lack of investor stability are contributing factors.
- The dollar strengthened as investors sought caution.
- Eurozone countries, particularly France, are also experiencing rising bond yields.