Benchmark US government bond yield hits 19-year peak as oil prices surge

The benchmark United States government bond rate has climbed to its highest level in 19 years as traders bet on a Federal Reserve interest rate hike following a new rise in oil prices. On Tuesday, the 10-year US Treasury yield hit 5.02 percent, a level unseen since the 2007 global financial crisis. The 10-year Treasury benchmark price influences the lending rate for nearly every asset in US financial markets, including consumer debt and home mortgages. Other global benchmark bonds have also reached multi-decade highs after the US and Iran escalated attacks in their more than six-month war last month, driving oil prices beyond $100 a barrel for the first time since May. Germany’s 10-year bond yield, a benchmark for the European economy, peaked at 3.