Treasuries Rebound as Warsh Backs Inflation Fight After First Rate Hike Since 2023
Updated
Updated · Bloomberg · Sep 17
Treasuries Rebound as Warsh Backs Inflation Fight After First Rate Hike Since 2023
3 articles · Updated · Bloomberg · Sep 17
Summary
Two-year Treasury yields fell 2 basis points to 4.72% after Federal Reserve Chair Kevin Warsh’s anti-inflation stance steadied markets following the Fed’s first rate increase since 2023.
Benchmark 10-year and 30-year yields each dropped 3 basis points, reversing part of the prior session’s selloff that had pushed the two-year yield to its highest level since 2024.
Asian bonds also turned higher after earlier losses, tracking the Treasury move as investors reassessed the Fed’s tightening message.
Oil extended its decline, adding to a broader market reaction in which confidence in the Fed’s inflation resolve helped ease pressure across asset classes.