NEW YORK (dpa-AFX) – In the US bond market, yields extended the initial levies in late trading on Wednesday. Ten-year Treasuries were last yielding 1.83 percent after yields climbed to their highest level in more than two years at 1.9 percent. The futures contract for ten-year Treasuries (T-Note future) rose to 127.70 points.
Traders spoke of a slight counter-movement on the bond market. Basically, however, there is an upward trend in yields, which is being carried by rising interest rate expectations of the US Federal Reserve. It is expected to stand in the way of soaring inflation and start raising interest rates soon. The March meeting of the Monetary Policy Committee is currently considered a realistic starting date. Some observers can now even imagine a large interest rate hike of half a percentage point as the start of the tightening cycle./bek/nas
