US 10-year Treasury yields have risen above 3.50% for the first time since 2011.
According to Arabiya Net, this rise came in light of the possibility of the US Federal Reserve tightening monetary policy during its next meeting on Wednesday to confront inflation.
US benchmark bond yields jumped 5.7 basis points to 3.506% as traders bet that another 75 basis point increase could come at this week's Federal Reserve meeting, which is largely a foregone conclusion, according to Bloomberg.
Some expectations indicated a 100bp move to curb price pressures, which showed few signs of abating even after the latest round of interest rate increases.
Investors are also raising expectations about how tight the US central bank might eventually push interest rates higher as early as 2023.
But fears are growing that the economy may slip into recession and prompt policy makers to cut interest rates next year.
