Treasury yields spiked across the board, with the 10-year yield hitting its highest level since October 2023 as markets price in a 90% probability of further Federal Reserve rate hikes.
U.S. 10-year yield rose to near 5% on rate hike expectations, bearish for bond prices.
U.S. 2-year yield rose 0.263 percentage point this week, bearish for short-term bonds.
U.S. 30-year yield rose 0.108 percentage point for the week, bearish for long-term bonds.
U.S. Treasury yields climbed sharply this week, with the 10-year note reaching 4.974% as investors brace for the upcoming Federal Reserve meeting. Heightened inflation concerns pushed rate hike expectations above 90%, triggering a broad sell-off across the yield curve.
Yields are climbing due to increased expectations for Federal Reserve interest rate hikes, fueled by recent Consumer Price Index (CPI) data that suggests persistent inflationary pressure.