The 10-year Treasury yield topped 5% on Monday, matching its highest level in three years despite the Trump administration’s efforts to calm markets. This rise makes government bonds more competitive with stocks and Bitcoin, which trades around $77,800. Analysts view a sustained climb past 5% as the greatest near-term concern for stocks, according to Antony Ghee of Merrill and Bank of America Private Bank. Higher financing costs for companies and pressures from government borrowing and AI infrastructure debt are fueling yield increases. Traders price a high chance of a Fed rate hike this week, which could either ease or extend pressure on risk assets.
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