Haven buying has awakened the Treasuries market, driving yields to their lowest in months. Concerns about regional banks’ credit exposure and the US government shutdown have spurred investors to seek safety in Treasuries. The 10-year yield fell below 4% and the two-year yield hit its lowest level since 2022. Fed Chair Jerome Powell’s comments on slow hiring suggest further rate cuts may be ahead. Traders are preparing for potential drops in yields below 4%, with Treasuries proving to be a reliable portfolio ballast during times of crisis. The upcoming release of September’s consumer price index will provide further insight into economic conditions.

Read more at Yahoo Finance: Treasuries Rally Drives Home Haven Role as Credit Worries Swirl