US Treasury yields spike as Israel-Hamas war escalates
The 10-year US Treasury yield just rose, hitting about 4.1% after strikes in the region.
This sudden move means borrowing—think mortgages, student loans, and business credit—could get pricier.
Investors are selling off bonds
Instead of rushing to the safety of bonds like usual during global crises, investors are selling them off.
Why? Rising oil prices and worries about inflation have people spooked that interest rates could stay high for longer.
Plus, strength in defense and military-equipment stocks and a shaky outlook are adding to the uncertainty.
What does this mean for you?
If you're planning to borrow or already have loans, keep an eye out—higher yields can trickle down into higher rates on home loans and other borrowing.
And with uncertainty over how long the conflict will last, the economic rollercoaster may not be over yet.