Short-dated U.S. Treasures were sold after Kevin Warsh stressed the need to
Curb consumer price gains: 2-yr yield +5bp to 4.28%, 30-yr yield -1bp to 5.19%.
Warsh warned inflation has not meaningfully eased and said policymakers “have
more work to do” unless confident inflation is improving, reiterating the Fed’s
aim to return inflation to 2%. Market moves suggest a higher probability the Fed
may need to raise short-term rates.
