The FOMC’s vote to increase the federal funds rate 25 basis points on June 14 raised the implied floor for short-term interest rates, but the impact becomes less predictable farther out on the curve. Inflation expectations influence long-term bond yields as investors express their views of future growth through their activity.
*Non-seasonally adjusted. Sources: Bloomberg LP; P&I Research Center
Compiled and designed by Charles McGrath and Gregg A. Runburg