U.S. yields briefly extend rise after Fed leaves rates steady, as expected
TLT•Treasury yields briefly rose after the Federal Reserve held its benchmark rate at 3.75%-4.00% in a 10-2 decision. The 10-year yield was up 4.3 basis points at 5.036%, while the 30-year and two-year yields rose 2.9 and 4 basis points, respectively.
1. Fed holds rates steady
The Federal Reserve held its benchmark interest rate within the 3.75%-4.00% range in a 10-2 decision, as expected. Policymakers awaited further data on inflation and delayed changes to borrowing costs before the November U.S. midterm elections.
2. Treasury yields rise
The 10-year Treasury yield was last up 4.3 basis points at 5.036%, and the 30-year yield was up 2.9 basis points at 5.334%. The two-year yield, which typically moves with expectations for Fed rates, rose 4 basis points to 4.777%.
