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2-Year Treasury Yield Surges in Biggest Jackson Hole Reaction Since Greenspan Era

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The short-end of the Treasury market believed Warsh after he said that the Fed is going to control inflation.

The yield on the 2-year Treasury note rose 0.118 percentage point to 4.348% Friday. That marked the note’s largest single-day yield gain on a day that a Fed chair gave a speech at Jackson Hole since Alan Greenspan’s address in 1996, according to Dow Jones Market Data.

The two-year yield rose after Warsh said during his speech at the annual economic policy symposium that if the central bank isn’t confident that inflation is moving to its 2% objective clearly and at sufficient speed, then “we have work to do. That’s our job.”

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