Bond Market Halts Brutal Run as Buyers Pounce on 4.5% Yields
- Traders still see uncertainty over US fiscal, Fed policy paths
- Options traders are placing wagers to profit if yields do rise
This week, traders will get new insights with the release Wednesday of the Fed’s preferred inflation measure.
Photographer: Michael Nagle/BloombergThis article is for subscribers only.
The US bond market is finally showing signs of steadying after a two-month selloff, with investors starting to swoop in whenever yields test new peaks.
Donald Trump’s presidential victory, stubbornly elevated inflation and a steady drumbeat of strong economic data have pushed 10-year Treasury yields up sharply since mid-September — and there’s no clear consensus of where they’re likely to go.