Part 4/8:
However, current circumstances differ. While the Federal Reserve has been lowering interest rates since 2023, the markedly higher yield on the 10-year Treasury bond reflects a change in market sentiment regarding anticipated future rate cuts. Just three months ago, projections indicated six potential rate cuts in 2025; today, that number has decreased to just one. This shift is driving the current upswing in yield, diverging from historical patterns established during times of aggressive rate hikes.