US Treasuries: Curve steepens with long yields at cycle highs – Deutsche Bank
Deutsche Bank’s Early Morning Reid notes a mixed US Treasury session, with 10-year and 30-year yields holding or extending post-2000s highs while the 2-year falls.
Deutsche Bank's Early Morning Reid notes a mixed US Treasury session, with long yields nearing cycle highs while the 2-year yield declines. As anticipation builds for today's release of US core PCE data and the end of the quarter, markets have delivered a mixed performance across major asset classes. Relief was evident as oil and gas prices dropped once more, owing to positive supply news - Brent crude slipped 2.56% to $102.59/bbl.
Meanwhile, the anticipation of no immediate Fed rate hike due to NY Fed's Williams assisted in moderating expectations of Fed tightening. This atmosphere contributed to a mixed session for US Treasuries. Initially, yields surged to fresh highs across the curve, but later pulled back some of those gains. The 10-year yield settled at its post-2007 high of 5.24%, while the 30-year yield saw a rise (+1.9bps) to a post-2002 high of 5.57%.
Written by urgent.news from FXStreet's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
