Treasury Yields Keep Rising

Treasury yields are on path to a weekly gain as markets calibrate bets on when and how fast the Fed will cut interest rates. The 10-year trades at 4.148% after settling last Friday at 3.949%. On the CME’s FedWatch tool, odds that the Fed would start cutting in March fall to 52% from 77% a week ago, after Atlanta Fed’s Governor Bostic said a first cut isn’t likely until the 3Q. Spartan’s Peter Cardillo says in a note the 10-year yield may be peaking. “In fact, we think the pushback on an early rate cut has run its course.” Later this morning, December existing home sales are expected to slow.