Biggest Weekly Drop in US Treasury Bond Yields in a Year

The 10-year US Treasury yield fell 12 basis points, its biggest weekly decline since June 2020.

US Treasury bond yields are in their biggest weekly drop in a year. The 10-year US Treasury yield fell 12 basis points. With this decline, it is preparing for its biggest weekly decline since June 2020. However, there are some signs showing that traders are reducing their short positions despite the increase in consumer prices. Benchmark interest fell close to 11 basis points this week and experienced its biggest weekly decline since June of last year. With the inflation data that was above expectations, Bond yields had increased for a short time on Thursday and then decreased again. The 10-year break-even ratio, which is used to measure inflation expectations in the bond market in the next 10 years, increased by 3 basis points to 2.36 percent. Thus, the yield of the 10-year Treasury bond fell to minus 0.94 percent, according to expectations.