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US 2-year treasury yield revisits 5-1/2 year high

FXStreet (Mumbai) - The yield on the monetary policy sensitive US two-year treasury yield revisited 5-1/2 year high in the European session as investors prepare for Fed liftoff in December.

The yield clocked a high of 0.954% today, which is just a shy away from the 5-1/2 year high of 0.958% clocked post the Nov NFP release. Meanwhile, the benchmark 10-yr treasury yield also rose to 2.241%; up more than one basis point on the day.

The yields have been on the rise since last week as markets expect the fed to begin tightening in December.

The 2-yr yield may clock 1% levels in case the US ISM non-manufacturing employment index, ADP report and the non-farm payrolls point to labor market tightening.

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