Have Comments By Fed’s Kashkari Pushed Treasury yields Higher?

Treasury yields advanced Wednesday morning, led by the 2-year maturity which reflects the near-term path of Fed’s policy, as investors digested hawkish comments from regional central-bank official Neel Kashkari.

On Tuesday, Kashkari, president of the Minneapolis Fed, said that the central bank needs to push ahead with tightening monetary policy until inflation is clearly moving down. Inflation levels of 8% or 9% “run the risk of un-anchoring inflation expectations”, he added.