Bond market prices out 2026 rate cuts amid Middle East inflation fears

11 articles · Updated · Bloomberg · May 3

US Treasury yields sit near recent highs as traders await Treasury borrowing plans, Federal Reserve speakers and monthly employment data this week.
Crude oil remains close to a four-year peak, reinforcing concern that resilient US growth and higher energy costs could keep inflation elevated and delay monetary easing.
Options traders have also started leaning toward possible tightening in 2027, signalling a sharper shift in rate expectations as geopolitical risks ripple through fixed-income markets.

Is the US economy headed for a credit recession despite resilient growth, as high rates and oil prices bite?

Will incoming Fed Chair Kevin Warsh pivot from Powell's policies to tackle the ongoing energy and inflation crisis?

With bonds no longer a safe haven, where can investors hide from persistent inflation and geopolitical turmoil?