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Bloomberg Quint

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Image Credit: Bloomberg Quint

Treasuries Hit By Second Week Of Declines On Inflation Jitters

  • US Treasuries experienced a second week of losses with concerns over inflation resurfacing, leading to rising yields across the curve.
  • Investors are worried about inflation due to Trump's tariff threats and increasing oil prices, despite expectations of the Federal Reserve cutting interest rates later this year.
  • Government bond volatility has decreased, with the ICE BofA MOVE Index falling to its lowest level since January 2022.
  • Interest-rate swaps suggest potential Fed rate cuts this year, with uncertainty about the timing, while policymakers are monitoring inflation concerns amid tariff threats.

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