Fed's Kaplan: Makes sense for 10-year T-bond yield to drift up this year

Eren Sengezer FXStreet

Dallas Federal Reserve Bank President Robert Kaplan said on Wednesday that there is still a lot of labour slack in the US and added that it will take a while to get back to full employment, as reported by Reuters.

"Once we've weathered the pandemic and are meeting other benchmarks, I will advocate for removing extraordinary measures," Kaplan reiterated. "It makes sense the 10-year Treasury yield drifts up this year, not alarming."

Market reaction

Kaplan's hawkish comments don't seem to be helping the greenback gather strength. As of writing, the US Dollar Index was posting small daily losses at 91.79.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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