Arabic version: عائد سندات الخزانة الأميركية لأجل 30 عاماً يبلغ أعلى مستوى في 19 عاماً

According to Cnbc, the U.S. 30-year Treasury bond yield reached a fresh 19-year high on Tuesday before pulling back more than 2 basis points to 5.285%. The 10-year Treasury note yield, a benchmark for mortgages, auto loans and credit card debt, was more than 1 basis point lower at 4.706%, while the 2-year note yield slipped less than 1 basis point to 4.175%.

The moves came as concerns persisted over the U.S. fiscal outlook and inflation. The fiscal deficit rose to $432.3 billion in July, the highest monthly total since March 2021, bringing the year-to-date shortfall to nearly $1.8 trillion. Interest paid to finance the nearly $40 trillion national debt has cost the government about $1.2 trillion this year.

Recent inflation readings showed low overall price increases in June and July, but the annual rate remained well above the Federal Reserve’s 2% target. Oil prices also rose after the 60-day deadline for the U.S. and Iran to secure a peace deal expired Monday, with Iran ruling out an extension, according to state media.

Government borrowing costs increased globally as inflation concerns resurfaced. Japan’s 10-year bond yield reached a 30-year high, Germany’s 30-year bond yield hit its highest level since 2011, and France’s 30-year government bond yield rose to a post-2008 high. U.S. import prices, meanwhile, fell 0.4% in July, compared with economists’ expectation of a 0.1% gain.