Wall Street faces the new normal: the average U.S. bond yield enters the "5-digit era"

PANews, September 25, according to Headliner, the sell-off in U.S. debt has further intensified this week, with yields on multiple maturities only 10 to 15 basis points away from hitting the historical peaks in 2000 and 2002. This sign was partially alleviated on Friday. Bloomberg data shows that the average yield on the US$32 trillion US Treasury market has risen to 5.05%, approaching the high in 2023 and the double peak from 2006 to 2007. The average yield on global sovereign bonds is also close to 4%, the highest level since 2007.

However, for investors looking for fixed cash returns, the 5% yield level provides an attractive allocation opportunity. Michael Hans, chief investment officer of Citizens Wealth, which manages more than $65 billion in assets, said: "Compared to the zero interest rate environment we experienced after the financial crisis, I would choose the current yield situation at any time without hesitation."