Svmuu News: As the threat of an escalation of the war in Iran pushed up oil prices, U.S. Treasury yields rose to their highest levels of the year, with the market anticipating that the Federal Reserve may raise interest rates as early as next week. The yield on the two-year Treasury note, which is particularly sensitive to expectations regarding Federal Reserve policy, rose by about 4 basis points on Thursday to approximately 4.34%, reaching its highest level since early 2025. The yield on the 10-year Treasury note hit a new high for the year, while the 30-year yield rose to 5.19%, just below its highest level since 2007.
As Houthi rebels claimed to have attacked a merchant ship for the first time in recent months, Brent crude oil prices are slowly climbing back toward $100 per barrel. This rise continues to put pressure on the U.S. Treasury market and is leading traders to increasingly believe that the Federal Reserve, under Wash’s leadership, will raise interest rates soon this year. (Jin Shi)