yield 10 year bond?

Question

What ist opinion on this problem why on 16.06 the yield an 10 year bond increased

Answer 1

There might be a couple of explanations for this.
1. the price of the bond might have dropped thus increasing the yield
2. the bond might have a feature that states that the yield will float with interest rates. The U S government issues bonds with that feature.

Answer 2

The primary reasons that bond yields increased is that Wall Street believes that the Fed will continue to increase the Fed Funds Rate and that inflation will continue to rise.

The record federal deficit and high energy costs are the main reasons behind all of this. The Bush administration's policy of spending more but cutting taxes has finally caught up with us.