Global bond yields surge: 10Y Treasury hits 5.3%, highest since 2002

September saw a sharp rise in global bond yields, with the 2-year Treasury up 54bp to 4.9% and the 10-year reaching 5.3%, the highest since 2002. This has widened the divergence between fixed income (US Agg down ~3% YTD) and equities (S&P 500 up 13%, driven by AI profit supercycle). The move signals a repricing of rate expectations and potential growth/inflation dynamics, with implications for asset allocation and risk sentiment.