dallas fed president lorie logan said thursday that current data does not support a pause in interest rate hikes yet leading market expectations for a fed hike in june to increase again the implied probability of a fresh rate rise by the federal reserve in june is close to 40 now up significantly from the 10 chance a week ago the cme group fedwatch tool shows logan who is also a voter on the federal open market committee said she is still worried about whether inflation is declining fast enough the evidence in the upcoming weeks may still demonstrate that skipping a meeting is acceptable yet as of right now we havent arrived the fed official said at the annual meeting of the texas bankers association in san antonio market reactions the invesco db usd index bullish fund etf uup which tracks the us dollar index is enjoying an excellent session on thursday up 06 and on pace to score its third consecutive day of gains shortterm treasury yields hit monthly highs with the yield on the twoyear note spiking to 425 up 7 basis point for the day the yield on the 10year benchmark treasury is also 7 basis points higher at 364 on track for its fifth straight day of increases aided by rising optimism toward a debt ceiling deal other fed members show some hawkishness fed board governor philip jefferson spoke thursday at the national association of insurance commissioners naic international insurance forum in washington dc stating that inflation is too high and the impact of hikes is not fully felt yet jefferson downplayed the impact of bank stress on credit tightening saying it is difficult to quantify   fed board governor michael barr testified before the senate banking housing and urban affairs committee seminannual hearing on supervision and regulation stating that the us banking system remains sound resilient and deposits are safe while also noting the fed is looking carefully at commercial real estate risks   over the last week several fed speakers mester kashkari goolsbee bostic and barkin have also delivered hawkish remarks