read moreThe yield on the benchmark 10-year Treasury hit 4.338% earlier, the highest since November 2007.
The two-year U.S. Treasury yield , which typically reflects interest rate expectations, surged to 4.639%, the highest since August 2007.
We'll continue to see more calls for a slowdown (in Fed policy) as we feel more and more pain in risk markets," he added.
The gap between yields on two- and 10-year Treasury notes , was at -27.5 basis points, that's the steepest since mid-September.
The 10-year TIPS breakeven rate was last at 2.525%, reflecting the average inflation the market has priced in for the next decade.