-
Bond markets are not so subtly telling the Fed that rates aren't high enough
Once again, the bond market is signaling to the Federal Reserve that interest rates aren’t high enough. The 2-year Treasury yield, a leading indicator of the Fed’s interest rate policy, has risen to 4.1%, well above the upper end of the Fed’s target range of 3.50%-3.75%. At the same time, the yield on the 10-year Treasury — a warning about investors’ inflation expectations — nearly touched 4.7% before backing off Wednesday. “The Bond Vigilantes are threatening that if the Fed doesn't tighten credit conditions, they will do so to maintain law and order in the economy,” Ed Yardeni wrote this week in a ... (full story)
- Comments / Top
- Subscribe
- Expand Replies Collapse Replies
Price
May 21, 2026 11:55am
Permalink
FlyingTurtle
May 21, 2026 12:11pm
Permalink
Cedlegend
May 21, 2026 12:18pm
Permalink
View 1 reply to FlyingTurtle
Hide reply to FlyingTurtle
Cedlegend
May 21, 2026 12:19pm
Permalink
View 1 more reply to Price
Hide reply to Price
Jwosjw
May 21, 2026 12:25pm
Permalink