30-year Treasury yield hits 5.31%, highest since 2007
Why it matters: Higher long-term yields can raise borrowing costs for mortgages, auto loans and credit cards as oil climbs.
The 30-year U.S. Treasury yield climbed to 5.311% on Monday, its highest level since June 2007, as rising oil prices and worries about persistent inflation and federal borrowing pressured government debt. The 10-year note yield rose to 4.724%, while the 2-year yield reached 4.182%. West Texas Intermediate settled up 2.6% at $84.50 a barrel and Brent gained 2.7% to $90.87 as a 60-day deadline for the United States and Iran to reach a peace deal expired. Barclays strategists said the move in long-dated yields increasingly reflects concerns about the U.S. budget deficit, heavy Treasury issuance and higher term premiums rather than near-term economic data alone.