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Rising Treasury yields could lift auto loan rates further
Bond yields have climbed as markets price in persistent inflation and additional Federal Reserve rate hikes, which may filter into borrowing costs for car buyers.
CNBC Markets reports that rising Treasury yields may translate into higher auto loan rates, according to industry experts.
The outlet links the move in borrowing costs to bond yields spiking on expectations that inflation will remain persistent and that the Federal Reserve may deliver further interest rate hikes.
As those yield expectations feed through to consumer credit, the potential impact would be on the rates car buyers face when financing a vehicle.
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