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US 10-year Treasury yield edges higher over week to reach 4.98%

The U.S. 10-year Treasury yield rose 0.02 percentage point over the week to 4.98% on Oct. 29, while remaining 0.28 percentage point below its month-earlier level.

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A man exchanges Nigeria's Naira for US dollars in Lagos in April 2021. Pius Utomi Ekpei/AFP via Getty Images
A man exchanges Nigeria's Naira for US dollars in Lagos in April 2021. Pius Utomi Ekpei/AFP via Getty Images

The U.S. 10-year Treasury yield rose 0.02 percentage point over the week to 4.98% on Oct. 29, according to U.S. Treasury figures distributed through the FRED database.

The benchmark yield remained 0.28 percentage point below its Sept. 29 level of 5.26%. Its weekly increase contrasted with declines in the yields on three-month bills and two-year notes.

The Treasury's two-year yield stood at 4.61% on Oct. 29, down from 4.65% on Oct. 22 and 4.89% on Sept. 29. That put its weekly decline at 0.04 percentage point and its monthly decline at 0.28 percentage point.

The Treasury's three-month bill yield fell to 4.18% from 4.22% a week earlier and 4.25% a month earlier. The decline amounted to 0.04 percentage point over the week and 0.07 percentage point over the month.

At the longest maturity supplied, the Treasury's 30-year bond yield reached 5.32%, up from 5.29% on Oct. 22. It remained below the Sept. 29 reading of 5.59%.

The 30-year yield increased 0.03 percentage point over the week, slightly more than the 10-year yield. Over the month, it fell 0.27 percentage point.

All four Treasury maturities therefore carried lower yields on Oct. 29 than on Sept. 29. The two-year and 10-year yields shared the largest monthly decline among them.

FRED's separately dated 10-year minus two-year spread was positive at 0.38 percentage point on Oct. 30. A positive spread means the 10-year yield exceeds the two-year yield.

The spread widened from a positive 0.31 percentage point on Oct. 23, an increase of 0.07 percentage point. It narrowed by 0.03 percentage point from a positive 0.41 percentage point on Sept. 30.

The spread readings run one day later than the individual Treasury yields above. The Oct. 29 yields of 4.98% and 4.61% give a difference of 0.37 percentage point for that date.

FRED's 10-year breakeven rate, the difference between nominal and inflation-indexed 10-year yields, stood at 2.34% on Oct. 30. It matched the Oct. 23 reading.

The breakeven rate was 0.02 percentage point below its Sept. 30 level of 2.36%. Its weekly comparison was unchanged while the separately dated nominal 10-year yield moved higher.

The Treasury's 10-year inflation-indexed yield, the yield on debt whose principal adjusts with inflation, stood at 2.63% on Oct. 29. It fell from 2.64% on Oct. 22 and 2.91% on Sept. 29.

That represented a weekly decline of 0.01 percentage point and a monthly decline of 0.28 percentage point. The monthly fall matched the decline in the nominal 10-year yield over the same dates.

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