A cyclist passes the Federal Reserve building in Washington, DC, August 22, 2018.
Chris Wattie | Reuters
U.S. Treasury yields ticked higher Monday, hovering around multiyear highs as investors continue to assess the prospect of higher-for-longer interest rates from the Federal Reserve.
At around 7:41 a.m. ET, the yield on the benchmark 10-year Treasury note rose by 6 basis points to 4.988%, while the yield on the 30-year Treasury bond climbed around 6 basis points to 5.143%. Yields move inversely to prices.
The 10-year yield on Thursday topped 5% for the first time since July 2007, as markets digested comments by Federal Reserve Chairman Jerome Powell, who said the central bank would remain “resolute” in its commitment to bring inflation down sustainably to 2% and that lower economic growth was likely needed to achieve this goal.
Fed fund futures pricing reflects a 98% probability that the central bank keeps its main interest rate unchanged at the current target range of 5.25-5.5% at its next monetary policy meeting.
Auctions will be held Monday for $75 billion of three-month Treasury bills and $68 billion of six-month bills.
Source link: https://www.cnbc.com/2023/10/23/treasury-yields-rise-again-as-10-year-hovers-near-5percent.html