treasury yields continued to climb on monday with the 2year reaching levels not seen since november 2007 as bonds tumbled in the wake of federal reserve chairman jerome powell’s hawkish remarks at jackson hole powell told the fed’s annual symposium in jackson hole wyoon friday that the central bank’s “overarching” goal was to bring inflation back to its target of 2 and they would not sway from that path “reducing inflation is likely to require a sustained period of belowtrend growth” said fed’s powell at the fed’s annual symposium in jackson hole wyo the remarks disappointed investors who had been hoping powell might offer signs of a pivot from a ratehiking path read fed’s powell sparked a 1000point rout in the dow here’s what investors should do next there has even been some chatter about a 100 basispoint hike at the fed’s september meeting “it’s conceivable that powell and his colleagues will be emboldened to hike the federalfunds rate by a full percentage point to 325350 at the sep 21 meeting of the fomc rather than by a measly 75bps given his hawkishness” said ed yardeni president of yardeni research in a note to clients “the 2year us treasury note yield tends to be a leading indicator of the federalfunds rate  it rose to 337 on friday at the same time the yieldcurve spread between the 10year and 2year treasurys remained solidly negative at 29bps” he said “negative yieldcurve spreads have a history of signaling that tighter monetary policies tend to cause financial crises that turn into credit crunches which cause recessions” added yardeni investors will now focus on the next big piece of economic data to come this week august nonfarm payroll data due out friday it is expected to show a gain of 325000 following a blockbuster reading of 528000 in july read what happens next now that jackson hole is over more fed hawkishness is in the cards