30-year Treasury yield jumps to 4.85%, heading for highest level in 16 years

Investors continued to sell off Treasurys on Tuesday, sending the 30-year rate up by 5.7 basis points to slightly above 4.85% and on its way toward the highest level since Oct. 16, 2007. The 10-year rate also rose 6.8 basis points to 4.75% and is heading for its highest since Aug. 13, 2007. Long-dated Treasury yields are in the process of going toward 5%, as traders incorporate the higher-for-longer theme in interest rates into their thinking. The selloff resumed on Monday after the government’s avoidance of a weekend shutdown assured a regular stream of economic data would arrive ahead of the Federal Reserve’s Oct. 31-Nov. 1 meeting.