Long-Dated Yields Climb as Markets Question Fed’s Inflation Credibility
Long-dated U.S. Treasuries rose after the Fed held rates, with the 10-year near 4.66% and the 30-year around 5.21% (the highest since 2007), as investors flagged an inflation credibility shock at the Fed. Bank of America economists said the moves reflect concern about inflation and suggested the Fed could still raise rates by 25 basis points at upcoming meetings, even as Fed Chair Warsh signaled no forward guidance.