U.S. Borrowing Costs Hit 8-Month High Ahead of Fed Meeting

The yield on the 10-year U.S. Treasury note rose to its highest level since January 2025 on Friday. This key borrowing cost climbed alongside a jump in oil prices, as investors prepared for the Federal Reserve’s next interest-rate meeting, scheduled for next week. The 10-year yield acts as a benchmark for mortgages, car loans, and corporate debt. When it rises, borrowing becomes more expensive for consumers and businesses. The increase comes as markets reassess how quickly the Fed may cut rates, while higher oil prices add to inflation concerns. The Fed is widely expected to hold rates steady at its upcoming meeting.