US 10Y T-yield jumps to highest since April 2014

The yields spike on signs inflation is rising.
The bond bear market is here?

Omkar Godbole FXStreet Contributor

The yield on the 10-year US Treasury note almost touched 2.8 percent; the highest level since April 2014 on evidence the inflation is rising.

U.S. Institute of Supply Management data released yesterday showed prices paid by US factories hitting a nearly 7-year high. Also, fourth-quarter labor costs increased by 2.0 percent. The numbers seem to confirm the Fed's inflation views, meaning the central bank might raise borrowing rates at a faster pace.

As of writing, the 10-year yield is hovering around 2.79 percent. A close today above 2.76 percent would confirm the bullish inverse head and shoulders reversal (bond bear market).

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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