Since the outbreak of war in the Persian Gulf, the yield on 10-year Treasury bonds has climbed back to levels they hadn’t seen since July of 2025. Yesterday, the 10-year closed at 4.34%.
Rates came down when the market began pricing in the Fed’s rate cuts that began in September of 2025. Now those lower rates have been erased by the perception of added risk. That could be good for bond investors, but individuals and corporations borrowing money will be forced to pay more.
Action Line: A reversal in yields for 10-year Treasuries will hamper the goals explained earlier this year by Treasury Secretary Scott Bessent, who made it clear he wanted 10-year yields lower. When you want to talk about bonds and risk in your portfolio, email me at ejsmith@yoursurvivalguy.com. And click here to subscribe to my free monthly Survive & Thrive letter.
