Treasury yields climbed on Wednesday — sending the two-year note’s to the highest level since March — as traders further pared wagers on more than one Federal Reserve interest-rate cut by year-end.
Yields rose five to seven basis points across maturities, with the two-year note’s reaching 4.06%. More sensitive than longer-maturity yields to expectations for the Fed, the two-year yield has climbed about 15 basis points this week. TD Securities joined several other Wall Street banks in predictingBloomberg Terminal the Fed will cut rates later than previously anticipated, and swap contracts ceased fully pricing in two quarter-point moves by year-end.