Upcoming Key Economic Data Release:
The next new jobs report is January 10.
The next CPI release is January 15.
The next Fed meeting is January 29.
For the past week, 10-year Treasury rates 25bp increase. The net change in 2 weeks up 40bp
Repeat: UP 40BP IN 2 WEEKS
The red line is current rates while the green line is one week ago. Short-term decreased while long-term increased. For terms 1+ years, the Yield Curve shows a positive shape. As the Fed decreases its Fed funds rate, short-term rates will decrease and the yield curve will return to a normal positive slope.
We are getting a positive sloped yield curve through a combination of the Fed cutting short-term and the marketing demanding higher longer-term rates.
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