The 10-year treasury bond yield is very closely watched by banks, consumers, and active investors. It is used as a measuring stick for interest rates on loans, bond auctions, etc.
When the 10-year treasury bond yield goes higher, so do interest rates on mortgages, personal loans, and car loans. And the government pays higher interest on some of its treasury-bill auctions.
Today we look at a “monthly” chart of the 10-year treasury bond yield and highlight a key price resistance level that may dictate the next move for interest rates.
As you can see, the 10-year bond yield bounced off the 23.6 Fibonacci level at (1) and is testing a key resistance level – its prior highs – at (2).
Should the 10-year bond yield breakout at (2), look for it to rally to the 4.9% level.
Time to worry again about rising interest rates? Stay tuned!
This article was first written for See It Markets.com. To see the original post, CLICK HERE.
