Over the past week, 10-Year Treasury rates decreased by 2 basis points. However, the net change over the past two weeks shows an increase of 7 basis points.

For terms of one year or more, the yield curve remains positive. As the Federal Reserve lowers the Fed Funds rate, short-term rates will decrease, leading to a return to a historically normal positive slope.

This positive slope is developing as the Fed cuts short-term rates while the market demands higher long-term rates.

Bill Knudson, Research Analyst LANDCO NEXA