Waller's Comments Spark Treasury Yield Drop as Fed Considers No Rate Hike
US Treasury yields plummeted across the curve on Thursday in response to Federal Reserve Governor Christopher Waller's indication that he supports keeping interest rates unchanged at the central bank's next policy meeting.
The 10-year Treasury note yield, a key benchmark for mortgages and other debt, dropped over 4 basis points to 4.748%, while the longer-dated 30-year Treasury yield fell more than 3 basis points to 5.233%.
This comes after Waller's comments in a Reuters interview where he expressed confidence in current inflation trends, stating that they 'suggest we are finally seeing some signs of disinflation.'
'If this continues in the data due over the next two weeks, I would be inclined to support holding the target for the federal funds rate at its current setting,' Waller said.