Standard Chartered said the U.S. Treasury market performed poorly in July and warned that U.S. yields still face further upside risk. John Davies, the bank’s U.S. rates strategist, said in a report that a return of the 10-year Treasury yield to around 5%, last seen in October 2023, is not impossible, according to Jiemian News. The report said the current market bears similarities to the U.S. Treasury selloff from July to October 2023, when yields were pushed higher by concerns over Treasury supply, rising oil prices, uncertainty over the Federal Reserve’s policy outlook, the Fed’s balance-sheet reduction and spillover from volatility in Japanese long-term government bonds.