Central Banks

Fed’s Barkin Says Yield Surge Reflects Strong Economic Data, Heavy Supply

  • Richmond Fed leader says path of rates depends on labor market
  • There is a narrow path to a soft landing, Barkin says
MLIV QOD: What Brings Bond Yields Back Down?
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Federal Reserve Bank of Richmond President Thomas Barkin said surging US Treasury yields reflect strong economic data as well as heavy supply, adding that it’s a return to a more normal rate seen in prior years.

“There’s a lot of fiscal issuance out there,” Barkin said Thursday at an event hosted by the University of North Carolina Wilmington. “That’s creating a lot of supply. And the data have come in a lot stronger lately.”