Treasury yields climb as investors seek clarity on inflation from Fed speakers economic data
Treasury yields rose on Monday as investors looked ahead to a week filled with Federal Reserve speaker remarks and key economic data releases, including October’s consumer inflation report.
Investors will be scanning Fed speaker remarks and fresh economic data releases for signals about inflation easing and the broader state of the U.S. economy this week. Last week, the central bank raised interest rate by a further 75 basis points in its continued efforts to fight high inflation.
Treasury yields rose on Monday as investors looked ahead to a week filled with Federal Reserve speaker remarks and key economic data releases , including October’s consumer inflation report. At around 3:30 a.m. ET, the yield on the benchmark 10-year Treasury note was up by just over one basis point to 4.1713%. Meanwhile, the policy-sensitive 2-year Treasury was trading at around 4.6965%, having risen by more than four basis points. It had notched a fresh 15-year high, climbing as high as 4.883%, on Friday. Yields and prices move in opposite directions. One basis point is equivalent to 0.01%.Investors will be scanning Fed speaker remarks and fresh economic data releases for signals about inflation easing and the broader state of the U.S. economy this week. Cleveland Fed president Loretta Mester and Boston Fed president Susan Collins are due to give remarks on Monday, which could provide clarity about future Fed policy and a potential slowdown of rate hikes. Many investors are concerned that the pace of the Fed’s interest rate hikes is leading the U.S. economy into a recession. Last week, the central bank raised interest rate by a further 75 basis points in its continued efforts to fight high inflation . Markets will gain insights into whether the Fed’s efforts are working on Thursday, when the latest consumer inflation report is set to be released. They will also be paying close attention to Tuesday’s Congressional midterm elections.
