U.S. 10-Year Treasury Yield Breaks 5% Amid Fed Decision and Oil Surge

With the U.S. Federal Reserve's interest rate decision approaching, international oil prices surged, causing a simultaneous rise in U.S. Treasury yields.

According to Cobey Letter on April 14 (local time), the yield on 10-year U.S. Treasuries exceeded 5%, reaching its highest level since October 2023. The 10-year yield is a key market interest rate indicator that influences mortgage rates, auto loans, and credit card rates.

The two-year Treasury yield, sensitive to monetary policy outlook, rose by over 2 basis points to 4.666%. It had already reached its highest level since July 2024 the previous week.

Long-term yields also continued their upward trend. The 30-year Treasury yield, influenced by geopolitical risks and long-term inflation expectations, increased by 2 basis points to 5.374%.