Why Rising Treasury Yields Are Making Home and Auto Loans Costlier

The rapid run-up in Treasury yields could hit American consumers hard, raising borrowing costs across housing and auto loans and potentially hammering the stock market.

Global bond markets have been selling off as investors fear a prolonged war with Iran could drive inflation even higher, possibly swaying the Federal Reserve to hike interest rates.

Treasury yields are the annual interest rates that investors are paid for holding government debt, and they are inversely linked to prices. As traders dump government bonds, yields move higher.