From the Fed to the currency crisis in Europe, here’s what’s behind this sell-off in the financial markets:

Trader on the floor of the NYSE, June 7, 2022. Source: NYSE Stocks fell sharply, bond yields rose and the dollar strengthened Friday as investors heeded the Federal Reserve’s signal that the battle with inflation could lead to much higher interest rates and a recession. The sell-off was global on Friday, in a week in … Read more

2-Year Treasury surpasses 4.2%, 15-year high as Fed drives up short-term rates

Yields moved higher on Friday, with the 2-year Treasury yield reaching a new 15-year high as markets assessed the latest Federal Reserve rate hike and what it means for the economy going forward. The policy-sensitive 2-year Treasury hovered above 4.2%, reaching a 15-year high of 4.266% earlier in the session. It last gained 12 basis … Read more

Fed must raise interest rates by 150 basis points: Wells Fargo

It’s a move that would likely cause panic on Wall Street. But Michael Schumacher of Wells Fargo Securities suggests the Federal Reserve is raising interest rates too slowly, telling CNBC’s “Fast Money” that he would seriously consider a 150 basis point hike this week if he were chairman Jerome Powell. “The Fed knows the destination. … Read more

Treasury yields lower than expected US consumer report

Bond yields fell slightly on Monday as markets waited for data on consumer inflation expectations. The return on the benchmark 10-year Treasury Note was down 1 basis point, trading at 3.3098% around 4.15pm ET. The yield on the 30-year government bond fell below a basis point to 3.4527%. The yield on the 2-year Treasury was … Read more

Government bond yields rise after unemployment claims report

US Treasury yields rose Friday as investors digested the previous day’s data, which showed unemployment claims came in lower, below expectations. The yield on the 10-year Treasury bond was up 4 basis points at 8:30 a.m. ET to 2.926%, while the yield on the 30-year Treasury bond rose about 3 basis points to 3,1728%. Yields … Read more

Government bond yields ahead of key inflation data release

US Treasury yields fell Tuesday as traders prepared for key inflation data to be released later this week. The 2-year fell 6 basis points to trade at 3.0078%, but remained above the 10-year Treasury, which fell 6 basis points to 2.9225%, before falling back below 3%. The yield on the 30-year government bond was 5 … Read more

Treasury yields are falling ahead of inflation figures later this week

US Treasury yields were slightly lower on Monday as traders continued to process strong data in the latest jobs report and look ahead to inflation data to be released later this week. The 10-year Treasury yield fell by about a basis point to about 3.0878%, while the 30-year Treasury yield also fell by a basis … Read more

US bonds continue to signal recession warning

Market professionals track the spread between longer-dated government bond yields and shorter-dated yields, with the former typically higher. However, 2-year government bond yields rose three basis points to 2.998% on Wednesday, holding it above 10-year yields. That so-called inversion, especially if it persists, is often interpreted as a warning sign that the economy could weaken … Read more

Bonds blink recession warning light as key part of yield curve inverts again

The bond market is flashing a warning that the economy may fall or has already entered a recession, according to a closely monitored measure. Market professionals look at the spread on the government bond yield curve, or the difference between longer-dated government bond yields and shorter-dated yields. Typically, longer-term yields, such as the yield on … Read more

Treasury yields are ticking higher as recession fears rattle markets

Treasury yields rose slightly on Tuesday as concerns about a potential economic recession continued to send investors looking for safety. At around 7:00 a.m. ET, the 10-year Treasury yield rose less than one basis point to 2.911%, while the 30-year Treasury yield rose marginally to 3.135%. Yields move inversely to prices and a basis point … Read more