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[BUSINESS] · United States, France, South Korea · 9 sources

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US Treasury yields hit 2023 highs amid inflation and debt concerns

Global financial markets are experiencing significant volatility driven by rising interest rates and geopolitical instability. In the United States, the 10-year Treasury yield has climbed to 4.85%, its highest level since 2023, as investors react to persistent inflation and a massive federal debt exceeding $40 trillion. Despite a $6 billion bond buyback announcement from the US Treasury intended to stabilize the market, yields continued to rise, nearing the critical 5% threshold.

Geopolitical tensions in the Middle East, particularly involving Iran, have pushed Brent crude oil prices above $100 per barrel, fueling further inflation fears. This instability has also triggered a flight to safe-haven assets; gold prices rose 1.4% to $4,414.30 per ounce. In contrast, Bitcoin has struggled to maintain momentum, trading within a range of $77,000 to $82,000 as the market prioritizes interest rate trajectories over crypto-specific drivers.

In Europe, the European Central Bank is expected to raise its deposit rate to 2.5% to combat energy-driven inflation. Meanwhile, in South Korea, the bond market has faced downward pressure following two consecutive interest rate hikes by the Bank of Korea, which brought the base rate to 3.00%.

Entities

Bank of Korea · Brent crude · Donald Trump · European Central Bank · Federal Reserve · Scott Bessent · South Korean Treasury Bonds · U.S. Department of the Treasury · US Treasury

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