10-year Treasury yield rises slightly after December Fed minutes
The U.S. 10-year Treasury yield moved higher on Tuesday as markets look toward minutes from the recent December Fed meeting.
TL;DR
- U.S. 10-year Treasury yield rose 2 basis points to 4.124% on Tuesday.
- The 2-year Treasury yield remained largely unchanged at 3.454%.
- Minutes from the December Federal Reserve meeting showed a close vote on lowering interest rates.
- The federal funds target range was lowered to 3.50%-3.75%.
- Some Fed participants argued for more easing to support the labor market.
- Others believed policy was already accommodative enough and could fuel inflation.
- An analyst from BMO Capital Markets expects the Fed to prioritize flexibility in future decisions.