Iran’s Parliament Speaker Mohammad Baqer Qalibaf criticized US economic policy and rising borrowing costs on September 24, 2026, pointing to the 10-year US Treasury yield reaching 5.1 percent. The yield on US 10-year Treasury bonds climbed to its highest level since 2007, while 30-year Treasury bonds reached 5.4 percent, marking their highest level since 2004.
Qalibaf Targets US Borrowing Costs and Energy Pressures
In a post on X on Thursday, Qalibaf addressed the Trump administration over the state of the bond and energy markets. “Happy 5.1% 10Y America. Mashallah. Celebrate: it’s the floor two years out,” Qalibaf wrote. He compared current economic conditions to the 1970s, linking higher interest rates with fuel price pressures and diesel shortages. “You wanted Iran dragged back to 1970s? Nobody told you Iran isn’t for arrogant amateurs?” he asked, adding that the US would return to 1970s rates alongside high gas prices and shortages.
https://x.com/mb_ghalibaf/status/2103159573544919440
Treasury Market Resistance and Policy Response
The spike in long-term yields has placed mounting pressure on US Treasury Secretary Scott Bessent. Bessent has conducted buyback operations in the US Treasury market, focusing particularly on 10-year bonds, to drive down long-term yields and reduce borrowing costs prior to the midterm elections. Despite these interventions, the bond market has largely resisted, leaving yields elevated or higher. Veteran Wall Street figure Stanley Druckenmiller has questioned the effectiveness of these measures and warned of growing market risks.
Oil Reserves and Strait of Hormuz Closures
Energy market pressures have intensified alongside the bond market developments. The United States has drawn heavily on its Strategic Petroleum Reserve (SPR) after Iran closed the Strait of Hormuz following US-Israeli aggression that began on February 28. Washington had relied on psychological pressure and assurances regarding the reopening of the southern shipping route through Hormuz to lower futures prices. The combination of elevated bond yields, depleted strategic oil reserves, and rising oil futures has heightened economic pressure on the administration.
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