The yield on the US 10-year Treasury auction reached 4.683%, a new high since 2007.
The U.S. Treasury completed the auction of $42 billion in 10-year Treasury notes on Wednesday, with a high yield of 4.683%, the highest level since the 2007 global financial crisis. Meanwhile, the Consumer Price Index (CPI) data released on the same day largely met expectations, causing market bets on a September rate hike by the Federal Reserve to drop from about 50% previously to around 40%. Persistently high inflation above the Federal Reserve's target and a widening fiscal deficit are the main factors driving up long-term yields.
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