Two-Year Yields Are Where the Fed Crisis Shows Up First

Two-year Treasury yields hit an 18-month high after stronger than expected U.S. jobs data lifted Federal Reserve rate hike bets. Fiona Cincotta, StoneX Senior Market Analyst, breaks down what the move at the short end of the U.S. curve says about Federal Reserve policy expectations. The August nonfarm payrolls report showed the U.S. labor market holding up, and pricing for a September rate hike moved from around half to roughly two thirds. That puts this week's U.S. consumer price index and producer price index releases in a decisive position, while a roughly 10% weekly move in crude oil adds a second inflation input for equities, gold, and other rate sensitive assets. Discover Actionable Insights with the latest Market Outlook Reports: https://intel.stonex.com/offer?language=en&campaignId=A908C315-DC62-4F35-AC16-870BB71E84D1&utm_source=youtube&utm_medium=social&utm_campaign=sxtv_guest_fiona_cincotta&utm_content=share 00:00 - Yields Hit an 18 Month High 00:28 - Jobs Data Refused to Crack 01:03 - Why the Short End Moves First 01:25 - Inflation Now Calls the Shots 02:18 - Oil Prices Reload the Risk 02:45 - Rate Sensitive Assets Exposed Like and subscribe for more financial market insights. #FederalReserve #StoneX #FionaCincotta #Treasuries --------- Like this video? Subscribe and turn on notifications so you don't miss any videos from StoneX: https://www.youtube.com/@stonex_official Visit https://www.stonex.com/en/insights/thought-leadership/?utm_source=youtube&utm_medium=social for insights, perspectives and thought leadership from StoneX's global network of experts. Visit our website: https://www.stonex.com?utm_source=youtube&utm_medium=social