The yield on the 30-year U.S. Treasury bond has surged to its highest level since 2007.

The yield on the U.S. 30-year Treasury bond has risen to 5.29%, reaching a new high since 2007. Investors are concerned about the expanding debt size, massive issuance of government bonds, and persistently stubborn inflation, which is pushing yields upward. AI-related companies are borrowing for financing, and combined with weakened demand for long-term bonds, this is adding further pressure. Despite weakening employment, inflation, and retail data prompting the market to lower its expectations for short-term interest rate hikes by the Federal Reserve, the sell-off in U.S. Treasuries continues. Meanwhile, long-term yields are rising while short-term yields are falling, steepening the yield curve.