Treasuries Rally Pushes Two-Year Yields Back to Pre-Fed Levels
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Treasuries rose for a second day, pushing two-year yields back below where they were trading before the Federal Reserve raised interest rates this week for the first time since 2006.
U.S. government debt advanced across maturities Friday, though two- and three-year notes posted some of the biggest gains. While shorter-dated obligations are typically most sensitive to central bank policy changes, traders said the fixed-income universe is focusing on the Fed’s message that it plans to stick to gradual rate increases.