US Treasury curve move sends 2 messages
Today’s 2s-10s (~7 bps) and 2s-30s (~10 bps) yield curve flattening (Bloomberg charts below) would suggest a double message from fixed income markets:
Short-term hawkish repricing following Chair Warsh’s firm commitment to the inflation target.
An endorsement of longer-term Fed credibility.
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federalreserve#