Japan's 10-year government bond yield rises to the highest level since 1996

The yield on Japan's 10-year government bonds rose by 10 basis points to 3.075%, the highest level since 1996. The yield curve increased across all maturities, with the 5-year yield rising by 9.5 basis points to 2.37%.

The sell-off of U.S. Treasuries intensified, driven by strong economic data and weak demand at Treasury auctions, pushing U.S. bond yields to near twenty-year highs. Rising oil prices have heightened inflation concerns, reinforcing expectations for interest rate hikes by the Federal Reserve.