US Treasuries: Yields hit multi-year highs – Deutsche Bank

The Deutsche Bank Early Morning Reid details a sharp rise in US Treasury yields, with the 10-year reaching its highest level since 2007 and the 30-year touching levels last seen in 2004. The move is driven by strong data and increased odds of a Federal Reserve hike in October. Bund yields also climbed to post-2009 highs, underscoring broad global rates pressure.

Long-end yields break higher

"In the US, despite a partial pullback on Friday, the probability of a Fed hike in October climbed from 53% to 64% over the week."

"And in turn, the 10yr Treasury yield rose +16.6bps (+3.7bps Friday) to 5.16%, after hitting its highest level since 2007 on Thursday."

"There were even bigger milestones for the 30yr yield, which rose +16.5bps (+1.5bps Friday) to 5.49%. So that was its highest level since 2004, and also its biggest weekly jump since May."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. Know more.)