10/13/2026
Treasury yields pulled back from their recent highs after a strong auction eased some concerns about demand for government debt. The 10-year Treasury yield climbed as high as 5.35%, its highest level since 2002, before easing following the Treasury's sale of $39 billion in 10-year notes.
Demand at the auction was stronger than average, particularly from indirect bidders such as global central banks, which accounted for 80.3% of the sale, compared with a 10-auction average of 72.4%.
The broader backdrop is still one of elevated yields, with investors weighing persistent inflation, rising energy prices, and expectations that the Federal Reserve may raise rates again before year-end. For now, the auction offered a little reassurance that demand for longer-term Treasurys remains strong even as yields sit near multidecade highs.
U.S. Treasury yields came off their highs after a solid sale of 10-year notes.
