Concerns about the Middle East led to a decline in U.S. yields, with the 10-year yield staying slightly below 5%.
Due to worries about the Middle East, risk-averse buying increased before the weekend. On Friday (10/20), U.S. Treasury yields declined across the curve, with short-term rates leading the way. Earlier, Fed Chairman Jerome Powell hinted at keeping interest rates unchanged but did not rule out the possibility of future rate hikes, pushing the 10-year yield close to 5% for the first time since 2007. Atlanta Fed President Raphael Bostic stated on Friday that the Fed may begin to cut rates later next year. Remarks from several Fed officials have been mixed about the need for further rate hikes, but they all share a commitment to maintaining high interest rates to curb inflation.
Remarks by officials
• Raphael Bostic, the President of the Federal Reserve Bank of Atlanta, stated during a CNBC interview on Friday that although inflation remains elevated, there were signs of a slowdown in economic growth, which could potentially pave the way for a more accommodative monetary policy latter next year.
US Treasury market conditions
• The 2-year US Treasury yield decreased 7bps to around 5.09%.
• The 10-year US Treasury yield decreased 7bps to around 4.92%.
對中東局勢的擔憂使美債收益率下滑，10年期美債收益率維持在略低於5%
因對中東局勢的擔憂，避險買盤在週末前擴大，週五（10/20）美債收益率全線下跌，短天期利率領跌。此前，聯準會主席鮑爾（Jerome Powell）暗示將維持利率不變，但未來仍不排除升息的機會，使10年期美債收益率自2007年以來首次短暫觸及5%。亞特蘭大聯準銀行行長波斯提克 (Raphael Bostic) 則是於周五表示，預期明年稍晚開始降息。近期幾位聯準會官員的發言對進一步加息的看法不一，但他們皆一致致力於維持高利率水平，以抑制通膨。
官員談話
• 亞特蘭大聯準銀行行長波斯提克 (Raphael Bostic) 周五接受CNBC採訪時表示，雖然目前通膨仍然過高，但伴隨著越來越多的增長放緩跡象，預期明年稍晚開始降息。
美債市場狀況
• 2年期美債利率較前日下跌7bps至約5.09%
• 10年期美債利率較前日下跌7bps至約4.92%