Money

Inflation Collides With Growth Fears to Trigger Big Swings in the Bond Market

A battle has broken out in bond markets, pitting investors’ fears of inflation against their concerns about slowing growth. The result is heightened volatility and a cloudy outlook for other investments.

Recent data showing inflation broadening and accelerating drove up Treasury yields last week, but the climb obscured outsize swings. In just one 15-hour stretch on Thursday, the yield on the benchmark 10-year U.S. Treasury note started at around 3.2%, climbed to roughly 3.5% and then fell to 3.18%, charting a gain and a loss that in a different time could each have taken weeks. Yields rise when bond prices fall.

Inflation Collides With Growth Fears to Trigger Big Swings in the Bond Market Source link Inflation Collides With Growth Fears to Trigger Big Swings in the Bond Market

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