demand for havens such as us treasurys faded tuesday allowing yields to rise after russia said some troops participating in military exercises near the border with ukraine were returning to their bases turning investors’ focus back to inflation and the fed’s expected policy response what are yields doing   the yield on the 10year treasury note tmubmusd10y rose to 2039 up from 1995 at 3 pm eastern on monday   the 2year treasury yield tmubmusd02y rose to 1588 little changed from1589 on wednesday afternoon which was the highest level for the shortdated treasury since dec 26 2019 according to dow jones market data   the yield on the 30year treasury tmubmusd30y was at 2342 compared with 230 on monday afternoon fears of an imminent russian invasion of ukraine faded somewhat after moscow said tuesday that some units would begin returning to their bases though ukraine’s leaders expressed skepticism the announcement comes a day after russia’s foreign minister indicated moscow was prepared to keep talking with the us and its allies about security issues that have led to the ukraine crisis while ukraine worries aren’t completely off the radar an easing of tensions leaves fixedincome investors to focus on concerns over persistently hot inflation and the federal reserve’s response yields have risen significantly since the beginning of the year and surged last week after the january consumerprice index rose to a yearoveryear 75 a nearly 40year high read consumers don’t think high inflation will last very long ny fed research shows market participants have penciled in an aggressive round of interest rate increases by the fed including the prospect of a 50 basis point or half a percentage point increase at the next policy meeting in march shortdated yields which are more sensitive to rate expectations have jumped more than longerdated yields flattening the treasury yield curve a phenomenon that can signal concerns over economic growth as the fed tightens policy investors will get a look at inflation pressures at the producer level with the release at 830 am eastern of the january producerprice index economists surveyed by the wall street journal look for the january ppi to show a monthly rise of 05 after a 02 increase in december the new york fed’s empire state manufacturing index is also due at 830 am what are analysts saying “russia’s decision to return some troops to their bases following the completion of some military exercises has stoked a relief rally in equities while weighing on the dollar gold and oil” while the 10year treasury yield probed a recent high and european government bond yields firmed said marc chandler chief market strategist at bannockburn global forex in a note