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Inflation Concerns Loom as Treasury Auctions Proceed

3/24/2026

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Story summary
  • Treasury Department conducts government bond auctions this week, selling short-term debt and 5-year and 7-year Treasury notes.
  • Middle East conflicts and higher energy prices raise inflation expectations, with investors expecting Federal Reserve to hold rates.
  • John Velis of BNY notes March Federal Open Market Committee met expectations with no changes, but markets lean hawkish.
  • Uncertainty about inflation and energy prices complicates forecasts, with outcomes ranging from inflation to year-end hikes.