US Treasury Yields Rise as Inflation and Borrowing Concerns Persist

The US government borrows money by selling Treasury bonds.

Investors have recently been asking for more return to lend to the government, so Treasury yields have risen.

The 10-year yield reached 5.32%, and the 30-year yield hit its highest point in 24 years.

Higher oil prices have raised concerns that everyday costs and inflation could stay high.

Investors are also considering whether the Federal Reserve will keep interest rates high for longer.

A strong economy can make the Fed less likely to lower rates quickly, and can make some investors choose riskier investments instead of government bonds.

The government is borrowing heavily, so investors are watching how much demand there is for new bonds.

They are also waiting for the Fed’s meeting minutes for clues about future policy.