After suffering the largest weekly drop this year, treasury yields increased on speculation that the Federal Reserve will soon begin a program of asset purchases as part of its planned quantitative easing.
“The market is squarely focused on the Fed, as more easing seems expected,†said Ian Lyngen, a government-bond strategist at CRT Capital Group LLC in Stamford, Connecticut. “The size and structure of more quantitative easing is still open for debate, and the market will be looking for clues until the Fed goes into its blackout period.â€
Source: Bloomberg
