Bond yields can rise due to several factors, including a strong economy, increased debt issuance, and rising interest rates. The resiliency of economic data, such as low initial job claims, can lead to higher long-term bond yields
. Additionally, the U.S. Treasury's heavy pace of new debt issuance can contribute to the continued push higher in bond yields
. Furthermore, rising interest rates can cause bond prices to fall, leading to an increase in bond yields
. As interest rates rise, investors may seek bonds with higher yields, leading to a short-term drop in the value of existing bonds with lower yields
. It's important to note that rising bond yields can present opportunities for investors, such as earning capital gains and diversifying portfolios
