The most fundamental rule in the book is being learned by bond traders: don't oppose the Fed.
While Treasury yields have occasionally declined in the hopes that the central bank may scale down its rate increases, these declines have been fleeting as officials have stuck to their hawkish script.
After the monthly jobs data revealed that the unemployment rate unexpectedly declined while payrolls continued to expand at a robust pace, a new round of selling started on Friday.
Even while the consumer price index report released on Thursday shows a little reduction in inflation pressures, the labor-market resilience is likely to keep the Fed on pace to continue with its most aggressive monetary policy tightening in decades.
Officials from the central bank have made it plain that they are committed.
The oldest rule in the book—don't oppose the Fed—is being learned by bond dealers.