Fed Dissents, Middle East Tensions Push Two-Year Yield to 3.95%

JPMJPM

Two-year US Treasury yields surged 11 basis points to 3.95%, the largest Fed‐announcement‐day jump since January 2022, while 30-year yields topped 5% for the first time since July. Hawkish dissents from four Fed officials and a Middle East oil‐price rally drove traders to price in a 50% chance of a rate hike by April 2027.

1. Sharp Treasury Yield Surge

2. Fed Policymaker Dissents Signal Hawkish Tilt

3. Oil Rally from Middle East Tensions Adds Pressure

Sources

FMM