The 10-year U.S. Treasury yield renewed its run toward 3% this week after positive economic news boosted investor confidence. The 10-year yield was about 2.92% Thursday morning, while the 30-year was about 3.11%. Yields surged in January and into February to 2.95% from just more than 2.4% before volatility spooked equity markets, causing a brief flight to safety.
The yield curve, meanwhile, has been flattening as two-year yields have pushed higher amid the Fed's commitment to further raise rates this year. The spread between the two-year yield and the 10-year, as well as that between the two- and 30-year fell to its tightest range in at least the past five years earlier this week. While spreads have a bit of a way to go before an inverted yield curve, spreads have been consistently lower in April.
Corporate investment-grade yields have pushed higher as well as the 10-year flirts with 4%, levels not seen since 2013, while the five-year has advanced to its highest marks since 2010.
