US Treasury Secretary Bessent attributes yield rise to global factors as 10-year tops 5%

The 10-year Treasury yield has punched above 5% for the first time since 2007, and Treasury Secretary Scott Bessent wants you to know it’s not just an American problem. Bessent pointed to global factors as the primary driver of the surge, framing the selloff as a synchronized movement across international bond markets rather than a uniquely domestic crisis. That framing is convenient, and it also happens to be partially true. Japan’s 10-year rate has climbed to 3%, a 30-year peak. German and UK yields have moved sharply higher in tandem. The numbers behind the pain The 30-year Treasury yield has surged past 5.3%, a level the market hasn’t touched in nearly two decades. US national debt has now exceeded $40 trillion. Projected budget deficits are hovering around 6% of GDP. Bessent’s Treasury Department has responded with expanded buyback operations targeting long-dated debt. One auction reportedly exceeded $5.2 billion, with the broader buyback program now running above $4 billion per auction. The goal is straightforward: soak up supply at the long end of the curve to cap how high yields can climb. Global dynamics meet domestic pressure On the international side, Japan’s bond market...