2026.10.0203:44:47UTC+00Treasury Yields Steady After Pullback

The yield on the US 10-year Treasury note hovered around 5.26% on Friday, stabilizing after pulling back from multi-decade highs, as mounting concerns over France’s fiscal and political outlook bolstered demand for safe-haven assets. Still, Treasury yields remained close to their highest levels since 2002, supported by expectations of further Federal Reserve tightening, evidence of continued resilience in the US economy, and deepening unease about the country’s fiscal and debt trajectory.

Investors are now focused on the September jobs report for additional insight into the strength of the labor market. Minneapolis Fed President Neel Kashkari said he is still uncertain about how high interest rates will ultimately need to go to bring inflation under control, stressing that the Fed must take whatever steps are necessary to return inflation to its target.

At the same time, oil prices advanced as the US weighed the deployment of an additional aircraft carrier and 10,000 troops to the Middle East, heightening fears of further disruptions to regional energy supplies and renewed upward pressure on inflation.