May 28, 2026
The 10-year Treasury Note started the month at 4.39% then moved higher as the Iran situation didn’t resolve and then this week started to level off. The note ended today at 4.45%. The 10-year started the year at 4.57%. There will hopefully be a resolution in the Middle East soon but that may not be the panacea we were hoping for. Gas, diesel and fertilizer prices have definitely moved higher and will likely at some time settle back down to “normal”, but inflation pressures are still higher than wanted throughout the economy. Rate cuts going forward appear to be less likely and there is talk of rate increases to cool the economy a bit. But, we have a new Fed Chair and it’ll be interesting to see how he responds to all the mixed signals. Shorter term bills have been pretty stable over the month while mid-term notes have seen the largest increases.
The dollar has been getting stronger against the Yen and Rupee but weaker against Chinese Yuan.