Bloomberg Surveillance · Wednesday, September 16, 2026
Following the Fed's hawkish opening statement and interest rate hike, equities experienced a decline, with the S&P 500 down. The bond market saw yields increase at the front end of the curve, pushing two-year yields above 4.70%, marking the highest level since July 2024.
“A hawkish opening statement from a Fed chairman happened to drive equities lower down on the session by 0.4 percent in the bond market.”
“Yields up six basis points on twos. We breach 470 on a two-year. We're higher for a seventh consecutive session, the highest yield at the front end of the curve since July 2024.”
“And that is where you saw the inflection lower when it comes to stock valuations and where you saw that inflection higher in the front end of the yield curve.”