The 10-year U.S. Treasury yield was steady Friday after hitting a fresh multi-year high this week.
The yield on the benchmark 10-year Treasury note on Friday moved 2 basis points higher to 2.361% at 7:50 a.m. ET. The yield on the 30-year Treasury bond was little changed at 2.514%. Yields move inversely to prices and 1 basis point is equal to 0.01%.
Treasurys
The 10-year rate at its highs of Wednesday’s session hit 2.417%, its highest level since May 2019.
The moves come amid growing expectations the Federal Reserve will be more aggressive in its tightening cycle.
Fed Chair Jerome Powell on Monday said, “inflation is much too high,” and emphasized the Fed would continue to raise interest rates until inflation is under control.
“If we conclude that it is appropriate to move more aggressively by raising the federal funds rate by more than 25 basis points at a meeting or meetings, we will do so,” Powell said in a speech to the National Association for Business Economics.
Some market participants raised their expectations for rate hikes following Powell’s comments. Goldman Sachs on Monday upped its forecast to 50-basis-point hikes at the May and June Fed meetings.
Investors also monitored the latest news from the war in Ukraine.
On Thursday, NATO committed extra troops along its eastern flank. In addition, the U.K. and U.S. announced more sanctions against Russian elites and officials.
U.S. President Joe Biden said that NATO would respond “in kind” if Russian used weapons of mass destruction in Ukraine.
Fed Governor Christopher Waller is due to speak about central bank digital currency at a virtual seminar on Friday, at 12 p.m. ET.
On the data front, the number of pending home sales in the U.S. in February, is set to come out at 10 a.m. ET.
The University of Michigan is also expected to release its final March consumer sentiment reading at 10 a.m. ET.
There are no auctions scheduled to take place on Friday.
— CNBC’s Christina Wilkie contributed to this market report.
