U.S. Treasury yields, which had reached “apocalyptic” levels last week, have pulled back as European officials have grasped the scope of the sovereign-debt crisis, John Herrmann, a senior fixed-income strategist at State Street Global Markets LLC, said today on Bloomberg Television’s “In the Loop” with Betty Liu.
Benchmark 10-year note yields advanced two basis points to 1.99 percent after touching 2.01 percent yesterday, the highest level since Sept. 19. Yields reached 1.6714 percent, the lowest level in Federal Reserve figures going back to 1953, as the Group of 20 finance chiefs pledged to address rising risks to the global economy.
“Several steps have been taken that at least convey to the market that European officials are getting the size of the problem,” and the message that they need to make bigger steps not smaller steps, Herrmann said in the interview.
To contact the editor responsible for this story: Faris Khan at firstname.lastname@example.org.