Huge sell-off rocks Treasury markets, yield curve inverts

Huge sell-off rocks Treasury markets, yield curve inverts

By Yoruk Bahceli and Sujata Rao

(Reuters) -U.S. two-year Treasury yields rose above 10-year borrowing costs on Monday – the so-called curve inversion that often heralds economic recession – on expectations interest rates may rise faster and further than anticipated.

Fears the U.S. Federal Reserve could opt for an even larger rate hike than anticipated this week to contain inflation sent two-year yields to their highest levels since 2007.

But a view is also playing out that aggressive rate hikes…


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