Is it time to buy bonds?

Often it doesn't feel like good news when a U.S. economic indicator matches a level last seen in 2007. But 10-year Treasury notes offering the highest yield since that year could be good news for investors looking to buy bonds.

Elevated inflation , especially higher oil prices, combined with expectations that the Federal Reserve will hike rates at least one more time this year, helped drive the 10-year Treasury yield to 5.208% on Thursday — the highest it's been since June 2007, before the global financial crisis. Yields remained elevated on Friday.

Higher long-term bond yields are often seen as a headwind for the stock market because they correlate with higher borrowing costs for consumers and companies, which can then slow down the overall economy. They can be especially bad news for consumers looking to take out a mortgage or other loan.