US Treasury Yields Surge Past 4.75%, Weighing on Gold Prices

US Treasury yields rose above 4.75% on Monday as gold prices continued to decline, following hawkish signals from Federal Reserve Chair Kevin Warsh at the Jackson Hole Economic Symposium last Friday.

The 10-year yield broke above its highest level since January 2025, while the 5-year and 30-year yields also climbed to their highest levels in over a year.

Warsh's comments were seen as a signal that the door to further rate hikes remains open, with markets assigning a roughly 60% probability to a September rate hike, up from about 36% before his speech.

The rise in Treasury yields is pressuring gold, which pays no yield and sees its opportunity cost rise when risk-free rates increase.