- The 10-year Treasury yield is rising towards 5% for the first time in many years.
- Yields jumped due to concerns over strong economic data, inflation fears, and political uncertainty.
- TD Securities’ head of rates suggests a potential entry point amid economic shifts and rate changes.
The bond market is stealing the spotlight as we turn the corner into a new year that rang in yields not seen since 2007. In October the yield only briefly tapped 5%.
On Tuesday, the 10-year Treasury hovered around 4.79%, near the psychologically key level of 5%. The 30-year rallied even closer at 4.98%.
The spike comes on the heels of market expectations of a growing economy, and the fear of returning inflation after December’s payroll showed 256,000 jobs were added, well above the forecast of 164,000. It signals that the US economy is either accelerating or stabilizing at a stronger level, said Gennadiy Goldberg, the head…
