US Treasury Yields: 10-Year at 5.2%, 30-Year Above 5.5%

Yields on US Treasury bonds hit multi-year highs: the 10-year yield rose to 5.2%, a level not seen since June 2007, while the 30-year yield exceeded 5.5%, the highest since June 2004.

US National Debt Nears 125% of GDP

Total US debt stands at roughly 125% of GDP. The cost of servicing this debt has climbed to about 3.2% of GDP, the highest since 1991, when debt was around 60% of GDP.

Expensive Refinancing Amid High Rates

Debt accumulated over years at near-zero rates now needs to be refinanced at much higher costs. The longer yields remain elevated, the more resources are required to service obligations.

Yields Above 5% Pressure Risk Assets and Crypto Market

Treasury yields above 5% increase pressure on risk assets, including the cryptocurrency market, as investors can earn high returns in government bonds without a comparable level of risk.