US 30-Year Treasury Yield Rises Above 5% Amid Investor Concerns Over National Debt, On May 21, 2025, the U.S. 30-year Treasury yield climbed to 5.089%, its highest since late 2023. This increase followed a weak $16 billion auction of 20-year bonds, reflecting low investor demand. Concerns over the U.S. fiscal outlook, including a proposed tax bill that could add $4 trillion to the national debt, contributed to the sell-off in government bonds. Major stock indexes also declined, with the Dow Jones Industrial Average falling over 800 points. Analysts warn that rising yields may lead to higher borrowing costs and further market volatility.
Key Facts: US 30-Year Treasury Yield Rises Above 5% Amid Investor Concerns Over National Debt
- 30-year Treasury yield reached 5.089% on May 21, 2025.
- $16 billion 20-year bond auction saw weak demand.
- Proposed tax bill may increase U.S. debt by $4 trillion over the next decade.
- Dow Jones Industrial Average dropped over 800 points.
- Moody’s downgraded U.S. credit rating from Aaa to Aa1.
- Rising yields could lead to higher borrowing costs for consumers and businesses.
Source: Financial Times
Tags: 30-Year Treasury Yield, U.S. National Debt, Bond Market, Stock Market, Fiscal Policy
