3rd QUARTER FIXED INCOME
In contrast, the bond market has been essentially flat. The yield on the 10-year Treasury was 2.33% at the end of September – versus 2.29% at the end of June and 2.44% at the end of 2016. (Yields move inversely to prices.) The certainty of gradual rate increases from the Federal Reserve should keep bond prices subdued. There is greater likely in the future for declines than for increases.