Global bond sell-off pushes U.S. Treasury yields to fresh 24-year highs

The yields on key U.S. Treasury bonds touched fresh 24-year highs Wednesday as the latest global bond sell-off picked up steam.

The 10-year Treasury yield rose as high as 5.36%, and the 30-year Treasury yield hit 5.73% — the highest for each since 2002.

Benchmark government bonds in France and Italy also rose sharply. The yield on the U.K. 30-year government bond hit its highest level since 1998.

When bonds fall, their yields rise.

U.S. bond yields pulled back later in the day following a Treasury Department auction of $39 billion worth of 10-year bonds, for which there was strong demand.

But at 5.3%, the yield on the auctioned bonds was the highest of any U.S. government sale of 10-year debt since November 2000.

“Bottom line, for whatever reason, likely the 24 yr highs in rates, brought out the buyers and resulted in a great auction,” wrote Peter Boockvar, chief investment officer at One Point BFG Wealth Partners. “In response, the 10 yr yield has backed off to 5.27% from 5.31% just prior to the results.”

The bond rout had sent stocks tumbling early in the day, but as the decades-high yields eased, so did losses among the major stock…

Original source: https://www.nbcnews.com/business