Treasury Market Rally Faces Reality Check as Powell Sets Path
- Slower Fed pace no certainty even after another large hike
- Recession signals grow as 10-year yield swings back to 4%
Jerome Powell
Photographer: Sarah Silbiger/BloombergThis article is for subscribers only.
The optimism that has crept into the US bond market is about to be put to the test.
The Treasury market rallied this week, snapping a 12-week losing streak, on speculation that the Federal Reserve will signal plans to scale back its interest-rate hikes after enacting a fourth straight three-quarter-point increase on Nov. 2.