TRADERS BOOST FED HIKE BETS TO 50% AS YIELDS SPIKE US Treasury yields jumped after traders increased bets on a Federal Reserve rate hike to 50% by October, citing inflation risks from the ongoing Middle East conflict. Yields rose 9–13 basis points across maturities, with two-year notes most sensitive to policy. Five-year yields topped 4% for the first time since July, and the 10-year climbed to 4.33%, the highest since August. Money markets have shifted from expecting two rate cuts this year to pricing in possible hikes. “The Treasury market is worried about rising inflation as the Iran conflict escalates,” said Gennadiy Goldberg, TD Securities’ US rates strategist.(*Walter Bloomberg)