US 10-Year Treasury Yield of 2.50% Probable as Growth Returns in 2022, Invesco Says

Source: Invesco

Invesco sees the US 10-year Treasury yield reaching 2.00% in 2022, with the investment company saying 2.50% is still a possibility by the year-end. US 10-year Treasury yield is currently 1.818%.

• Invesco says robust growth, rate hikes, persistent inflation, and the shrinking of the balance sheet will combine to push the Treasury yields higher. 
• The investment giant expects the inflation-adjusted yield on the 10-year Treasury to gravitate towards zero, from the current reading of around -0.77% as of January 7. 
• The company warns that the move towards zero for the inflation-adjusted 10-year yield will disrupt the financial markets temporarily.