Citi Says 5.5% May Be Next Focus for 30-Year Treasury Yield

Bond traders are zeroing in on 5.5% as the new “round number” for 30-year US Treasury yields as inflation concerns ripple across markets, according to Citigroup Inc.

Jim McCormick, the bank’s London-based macro rates strategist, said the focus is likely to shift to this level after long-end yields climbed to 5.16% this week to approach the highest since 2007. The last time they hit 5.5% was 22 years ago.