📈 The yield on 30-year Treasury bonds has reached its highest level since 2007: the bond market is rebelling 💥

This week, the yield on 30-year U.S. Treasury bonds 📊 soared to levels not seen since 2007, exceeding 4.8% per annum. This surge has sent a clear signal to global financial markets: investors are losing faith in long-term prospects and demanding a higher risk premium. 😬

🔍 Why is this important?
U.S. Treasury bonds are not just an investment tool. They are the cornerstone of the global financial system 🌍. Their yield affects:

💳 Interest rates on mortgages, auto loans, and corporate loans

🏦 The cost of borrowing for governments and companies

📉 Asset valuation, from stocks to real estate

When the yield on such securities rises sharply, it puts pressure on the entire market, from Wall Street to emerging economies.

🔥 What causes the increase in yield?

The Fed is in no hurry to ease policy 🏦 The Central Bank of the United States continues to maintain a tough stance, making it clear that interest rates will remain high for a long time. This cools the appetite for low-yield bonds.

The U.S. budget deficit is growing 💸The government is issuing more and more debt securities to finance the deficit. An increase in supply with limited demand pushes yields up.

Inflation expectations remain high 📈 Investors demand compensation for the loss of purchasing power in the future. And the longer the term of the bonds, the higher the risk.

😱 The bond market is in turmoil
📉 This year, the term "bond vigilantes" (bond vigilantes) has already gained traction. This is when investors collectively "punish" the government for fiscal irresponsibility by mass selling bonds and demanding increasingly higher yields.

This is an informal market vote against deficit policies.

💣 Consequences for the economy

📉 Pressure on the stock markets — high rates make stocks less attractive.

🏠 The rise in loan costs means more expensive borrowing for homebuyers and businesses.

🧨 Recession risks — tightening financial conditions may undermine consumption and investment. #Bitcoin Pizza Day#