The return on a decade-long Treasury note surged in April; reaching the highest levels since 2011 and signaling a robust US economy under President Trump and the GOP-controlled Congress.
According to CNBC, the yield on a United States Treasury note rose to over 3% in the first quarter of 2018; the highest return seen on a 10-year note since 2011 and the highest on a 2-year note since 2008.
“The 10-year Treasury note, which moves inversely to price, rose 7 basis points to 3.06 percent early Tuesday morning, north of the 3.03 percent clinched in late April and the highest since 2011. The two-year yield hit a high of 2.568 percent, its highest level since 2008,” writes the economic website.
“I think it’s important to get above 3 percent and show some upward momentum,” a senior strategist told CNBC. “I’m not hung up on whether its 3.03, 3.04, or 3.05 but it’s a pretty sizeable move and that’s important.”
The new data signals a growing US economy just months after President Trump signed the recently passed GOP tax cuts into law; unleashing American businesses and putting millions of dollars back into workers bank accounts.