John Williams, president of the Federal Reserve Bank of New York, stated that strong investment demand is exerting upward pressure on bond yields while inflation remains above target levels. U.S. 10-year Treasury yields hovered around 4.77% to 4.79% in early September 2026. Despite these tensions, inflation expectations remain contained and the labor market stays stable. The probability of an interest rate hike by September 2026 has surged from 34% to 57.5% in one week.
Source: Read the original article

