Story perspectives

Canada and U.S. Bond Yields Hit Highest Since 2009/2007

8/19/2026

Summary

Story summary

Canada’s long-term government bond yields rose to their highest level since 2009.
U.S. 30-year Treasury yields hit their highest since 2007, with the 10-year zero-coupon bond rising over 0.33 percentage point since February to a 2011-high.
Nicolas Normandeau of Fiera Capital said a patient Fed, persistent inflation and large deficits pressure long-term bonds.
U.S. investment-grade corporate debt issuance targets US$1 trillion this year, with six tech firms issuing over US$200 billion.

History

Historical Context

Paul Volcker’s aggressive tightening in 1981 pushed the federal funds rate to about 20%, sending long-term yields sharply higher and sparking the 1994 bond-market crash after the Fed’s February hike. Current U.S. 30-year yields echo that spike, and Canada’s 1981 prime-rate peak of 21% illustrates how aggressive tightening can again lift borrowing costs.

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Story summary

Canada’s long-term government bond yields rose to their highest level since 2009.
U.S. 30-year Treasury yields hit their highest since 2007, with the 10-year zero-coupon bond rising over 0.33 percentage point since February to a 2011-high.
Nicolas Normandeau of Fiera Capital said a patient Fed, persistent inflation and large deficits pressure long-term bonds.
U.S. investment-grade corporate debt issuance targets US$1 trillion this year, with six tech firms issuing over US$200 billion.

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