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The Guardian - UK
The Guardian - UK
Business
Richard Partington and Lauren Almeida

US borrowing costs hit 5% for first time since 2023 amid bond sell-off

People walk past the Treasury Department in Washington, DC
The US 10-year Treasury yield is used in global financial markets as a benchmark for pricing other assets. Photograph: Jim Lo Scalzo/EPA

US government borrowing costs have risen to 5% for the first time since 2023 as soaring oil prices fuelled by the war in the Middle East trigger an intensifying sell-off in the global bond market.

The yield – in effect the interest rate – on 10-year US Treasury bonds hit the psychologically important threshold on Monday, on a day of renewed selling pressure on Wall Street as the global oil price reached $108 a barrel.

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