Goldman Sachs says hawkish Fed message pushed 2-year Treasury yield up 13 bps, biggest jump since April 2025

Goldman Sachs Asset Management's Kay Haigh said the Fed's unambiguously hawkish message surprised markets by prioritizing inflation control. Traders now price over an 80% chance of a September rate hike and more than one hike in October. The 2-year Treasury yield rose 13 basis points Wednesday, its largest increase since April 2025.