Yellen Tames Bond Traders With Volatility to Pre-Taper Level

When it comes to monetary policy, Federal Reserve Chair Janet Yellen is doing all she can to ensure there’s little difference between herself and Ben S. Bernanke. The bond market is taking notice.

Measures of volatility based on interest-rate swaps have plunged this year and are now approaching levels not seen since before the Fed first signaled in May its intention to reduce the unprecedented bond buying that’s supported the U.S. economy, according to data compiled by Bloomberg.