Hawkish Fed commentary and Mideast tensions drive US 10-year yield above 4.75%

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Hawkish Fed commentary and Mideast tensions drive US 10-year yield above 4.75%

⚡ Markets: Higher-for-longer US interest rates and rising risk-free yields increase borrowing costs globally, pressure equity valuations (especially growth stocks), and strengthen the US dollar, impacting emerging markets and commodity prices.US 10YUSDSPXQQQ

Comments by Federal Reserve Governor Kevin Warsh, interpreted as hawkish, have increased market expectations for a September interest rate hike. Combined with inflationary pressures from surging oil prices due to the US-Iran conflict, this pushed the US 10-year Treasury yield to its highest level since early 2025, weighing on global stock markets.

West MSM 2Financial press 16Google Non-West 25 countries

20 sources across the spectrum

Financial pressCNBC — Markets see Warsh endorsing a rate hike in September. Not everyone is convinced

Financial pressCNBC — Risk-reward outlook for stocks is getting worse as historically tough month kicks off, says Citadel Securities

West MSMReuters — Wall Street dips as spiking crude prices revive fears of inflation, rate hike

West MSMReuters — Gold slips to near two-week low on Fed rate hike bets

Financial pressBloomberg — Emerging-Market Stocks Fall as Warsh Stokes Fed Rate-Hike Bets

Financial pressWall Street Journal — Warsh Delivers

Financial pressBloomberg — JPMorgan Traders Drop Bullish View on Stocks After Warsh Speech

Financial pressWall Street Journal — Long-Term Global Government Bond Yields Hit Fresh Highs

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