The yield on the U.S. 10-year Treasury hit its highest level in four years this week, putting upward pressure on borrowing costs and shining a spotlight on the Federal Reserve's plans to hike interest rates.
While some economists are fretting that benchmark and hope rates retreat, at least one analyst said those levels are here to stay.
"We can sustain a 3 percent type of interest rate," Mariann Montagne, senior investment analyst at Gradient Investments, told CNBC's "Futures Now" this week. She added that it's a matter of the right level at the right time.
"The rate was 2.95 [percent] back at the end of January into February. We thought then it had run too far, too fast, [and] it came back to about the 2.72 area," said Montagne.
The 10-year Treasury note began the year with a yield of 2.4 percent, and rose sharply through January and February, on worries over rising inflation. Yields caught up to 3 percent on Tuesday, topping the milestone for the first time since January 2014.