Bond-Market Gauges of Long-Term Inflation Are Lowest Since March
- 30-year breakeven inflation rate is 2.18%, was 2.41% in May
- Inflation outlook has fallen across Treasury maturities
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Long-term Treasury yields are spiraling lower this week alongside a broad slide in bond-market inflation expectations.
The 30-year breakeven rate, a fixed-income proxy for the annual rate of inflation that’s expected over the next three decades, is about 2.18%, its lowest since March after being as high as 2.41% in May, with investors far less inclined to hold reflation wagers across asset classes. Indeed, breakevens in all maturities are down from last week.