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Peter Schiff, CEO and chief global strategist of Euro Pacific Capital, highlights that the 10-year U.S. Treasury yield has reached 5.35% and the 30-year stands at 5.7%, the highest levels since 2002.
He raises concern about the broader economic impact if yields climb to their highest point since 1994, when both maturities exceeded 8%. Schiff suggests that such a scenario could push 30-year fixed mortgage rates above 10%.
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Earlier this month, Schiff highlighted the U.S. 10-year Treasury yield reaching 4.96 percent, marking a 19-year high in a previous article. He also pointed out when 10-year yields moved above 5.08 percent, driven by concerns over rising inflation in another recent report. These milestones set the stage for the current moves in Treasury yields.