Global Bond Yields Surge to Highest Levels in Decades

Global bond yields surged to their highest levels in nearly two decades on Tuesday, September 1, 2026, as a sharp selloff in government debt sent borrowing costs soaring across major economies. The move was driven by a potent combination of rising oil prices, which reignited inflation fears, and growing expectations that central banks will raise interest rates further to combat persistent price pressures. The yield on the benchmark 10-year U.S. Treasury note climbed to 4.79%, its highest level since January 2025. The 30-year U.S. bond yield reached 5.27%. The selloff was global in scope. In Japan, the 10-year government bond yield hit 3% for the first time since 1996.