US 10-year yield tops 5.04%, highest in 19 years; Bessent cites 'global issues'

US Treasury Secretary Scott Bessent attributed the recent surge in US government bond yields to "global issues" on Tuesday (local time).

Speaking to reporters before a House Financial Services Committee hearing, Bessent said the rise in yields reflected global factors, according to Reuters and Bloomberg.

He did not elaborate on the specific drivers behind the increase. However, he said the US government bond market was performing better than any other in the world, stressing its overall health.

The yield on the 10-year US Treasury note — a global benchmark for interest rates — briefly surpassed 5.04% during trading that day, its highest level in 19 years.

Bessent also said he plans to meet Chinese Vice Premier He Lifeng this weekend to coordinate the agenda for an upcoming US-China summit.

President Donald Trump has invited Chinese President Xi Jinping and his wife on a state visit to the United States. The US-China summit is scheduled to take place in Washington, D.C., on Sept. 24-25.

At the hearing, Bessent said he intends to raise US financial sanctions on Iran as a key topic in his meeting with He.

"We have sanctioned three of their banks," he said. "We have had very good private discussions with China, and I look forward to those discussions continuing when I meet my Chinese counterpart, Vice Premier He, this weekend."