US long-term borrowing costs reach highest level in 25 years

US Treasury market: The US Treasury market is the market for federal government debt and serves as a benchmark for borrowing costs across the economy, including mortgages, corporate credit, and other financial assets. It is relevant here because a sustained sell-off has pushed long-term Treasury yields to multi-decade highs, reflecting concerns about inflation, economic resilience, government borrowing, and bond-market supply. Market trend: The Treasury sell-off has lifted the 30-year yield to its highest level since 2004 and pushed the 10-year yield to its highest level since 2007. Borrowing costs: The rise in long-term Treasury yields increases financing costs for the US government and typically raises benchmark borrowing costs for households, businesses, and financial markets. Inflation pressures: Recent market commentary has linked higher Treasury yields to rising energy costs, resilient economic activity, and concerns that inflation could remain elevated.