Treasury 10-Year Note Yields Reach Highest Level Since September

Treasury 10-year note yields touched the highest in more than three months after initial jobless-benefit claims fell more than forecast as the Federal Reserve prepares to cut back on its monthly bond-buying.

The extra yield investors can get by holding 10-year debt instead of two-year securities, the so-called yield curve, reached the highest level since July 2011. The Federal Open Market Committee said after its Dec. 17-18 policy meeting it will begin reducing $85 billion in asset purchases next month amid “growing underlying strength” in the economy, while maintaining the benchmark interest rate at virtually zero.