Treasury yields have record substantial monthly gains

In October, strong economic data led investors to lower their expectations for the pace of Fed rate cuts. The approach of an election in which both candidates appear inclined to keep federal spending at high levels also appeared to drive returns higher.

The 10-year is up 0.484 percentage points this month to 4.282%, after rising 0.019 percentage points today. The two-year is up 0.514 percentage points, its biggest monthly gain since February 2023, at 4.162%. Both are on a streak of five consecutive monthly declines.