U.S. Treasury yields have surged to multi-year highs, with the 30-year bond rising above 5.19% and the 10-year approaching 4.69%, sparking concerns about financial market stability.

HSBC warned that Treasurys have entered a “danger zone” where higher yields could begin pressuring stocks and other risk assets.

Analysts say the selloff reflects concerns over sticky inflation, shifting interest rate expectations, and geopolitical uncertainty, even as some market fundamentals remain strong.

Experts described current conditions as a “yellow alert,” though further increases in yields could trigger sharper declines in equity valuations, CNBC has reported.

Despite the stress in bond markets, equities have so far held up due to strong earnings and investor expectations that global conflicts will have limited economic impact.