It took about 18 hours for bond traders to decide that this week’s Federal Reserve meeting was hawkish. The Treasury market was shockingly sleepy after Fed chief Jerome Powell said the central bank could start scaling back its massive bond-buying purchases in November, and complete the process by mid-2022 — a “turbocharged taper,” in the words of UBS global chief economist Paul Donovan.

FOMC Wednesday was just another day in the bond market, with 10-year Treasury yields actually drifting lower. Thursday was a completely different story. Long-term rates screamed higher, with yields on 30-year bonds staging the biggest one-day jump since March 2020.

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