US Treasury yields increased on Friday as investors analyzed new consumer sentiment data. The 10-year benchmark yield rose 4 basis points to 4.318%, while the 2-year Treasury yield jumped 7 basis points to 4.023%.
A survey from the University of Michigan found consumer sentiment dropped in March to 57.9, below the expected 63.2. Consumers now expect inflation to reach 4.9% over the next year, a 0.6 percentage point increase from last month.
The report showed that consumers are concerned about future economic uncertainty, citing factors such as policy changes and business conditions. The high level of uncertainty makes it challenging for consumers to plan for the future.
Analysts, including Andrew Brenner of NatAlliance, described the data as “stagflationary” due to the rising inflation expectations. They warn that these numbers could influence the Federal Reserve’s decision at its meeting next week.
The FedWatch tool suggests traders expect the central bank to maintain current interest rates, but the latest data may have some impact on their decisions.
Source: https://www.cnbc.com/2025/03/14/us-treasury-yields-investors-await-consumer-sentiment-data-.html