Interest Rates Dropped... Why Is Yields Rising?

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Why Yields Can Rise After a Rate Cut

When people say “interest rates dropped,” they usually mean central bank policy rates (like the Fed cutting rates).

But bond yields (like US10Y) are set in the open market, based on supply/demand and expectations about inflation, growth, and future rate paths.

Rate cuts can be inflationary: Lower borrowing costs can stimulate spending and growth, which raises inflation expectations → investors demand higher yields.

Market front-running: If the cut was already priced in, traders may rotate out of bonds (selling pushes prices down, yields up).
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Targets for both yields and bond prices has been delivered this week!
Overall bearish bias is still in motion.
Lookout for the next review for next week which i will go over the low hanging fruits and price predictions

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