Global government bond yields have moved to levels not seen in decades, placing renewed focus on the interest rates that underpin valuations across financial markets. The U.S. 10-year Treasury yield surpassed 4.8%, its highest level since late 2023, while 10-year British government bond yields reached their highest level since 2008 and Japanese 10-year government bond yields climbed to their highest since 1996. The increase has been linked to persistent inflationary pressure from elevated energy prices, with Brent crude up more than 30% from its July lows, as well as widening government budget deficits, a rising term premium (extra yield investors demand for holding longer maturities) and competition from technology companies issuing their own debt. Aaron Hill, chief market analyst at FP Markets, said the move may represent a reassessment of risk rather than a temporary bond-market rally. He said investors are demanding higher returns on long-term government debt because of reduced confidence that inflation is under control and growing doubts about the sustainability of fiscal deficits at current levels. The release emphasizes that higher oil prices can affect bonds, currencies and gold because markets are interconnected. FP Markets says its investors can trade CFDs (contracts tracking an asset's price without owning it) on government bonds, more than 70 currency pairs, major stock indexes, commodities and ETFs through leading trading platforms.