The U.S. is not the only game in town anymore' -- Treasury debt faces more competition from higher-yielding bonds overseas than in recent decades | Fortune

Rising bond yields this week pushed the U.S. Treasury Department into an unusual intervention and revived concerns about higher borrowing costs dampening consumer spending. The episode also raised the question of whether investors are starting to diversify away from Treasurys. The article explains how the bond market works: governments and companies issue IOUs that pay fixed interest, and bond “yield” reflects returns based on current price versus face value. While the U.S. market remains the largest, international options are yielding more. The piece cites data showing Japan’s 30-year government bonds paying more than 4%, the U.K. at 5.81%, and Germany at 3.76%, compared with 5.27% for a comparable U.S. bond. It links the 10-year Treasury yield to mortgage rates, which have drifted higher amid inflation concerns and debt worries.