The US bond market has seen a recent decline in gains as inflation and a strong labor market continue to impact interest rates. Despite easing concerns over Treasury supply, policy questions persist.
President Trump’s goal of reducing interest rates is closely tied to the yield on 10-year government debt. However, three weeks into his second term, there is little expectation that rates will decrease significantly in the near future.
Source: https://www.bloomberg.com/news/articles/2025-02-09/bond-market-gains-fade-as-trump-inflation-keep-yields-elevated