Insights

The U.S. Treasury curve shifted higher across the maturity spectrum with yields rising approximately 40bps in the 2- through 10-year range and 30bps on the long end. The move reflected persistent inflation pressures and a shift in market sentiment regarding the likelihood of a Federal Reserve cut in 2026.

In February, Treasury yields fell across the curve, and the 10-year yield declined 30 basis points, as buyers turned to Treasuries amidst potential signs of the disinflationary power of AI, rising geopolitical tensions and worries about private credit.

Treasury yields rose modestly across the curve during January, with the 2-year and 10-year maturities seeing increases of 5 basis points, as markets adjusted to shifting economic data.

Economic growth remained robust in the fourth quarter, fueled by strong spending from high-income households and productivity gains linked to artificial intelligence-related investments.

Fixed-income market participants often quote the term “yield,” but the word’s context could be misunderstood because various types of yield exist and each is calculated differently.

Duration is one of the most important concepts for bondholders to understand as they review the performance of their fixed income investments.

The Treasury yield curve bull flattened in September, with the 10-year yield falling by eight basis points.

Private credit allocations have progressed from niche to mainstream, presenting investors with two critical considerations.