Bond Yields at 5% Mark New Era 'Until Something Breaks'

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As yields on US Treasuries soar past one high after the next, a reality is sinking in deeper across Wall Street and Washington: More than merely a bond-market slump, this might just be a fundamental shift.

Myriad forces have combined to push the government’s borrowing costs higher — from $100-a-barrel oil and the AI spending boom, to yawning US budget deficits adding to a record $40 trillion debt load — all against a backdrop of a Federal Reserve bent on cooling inflation that’s run well past target for years. 

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