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Bond traders fear a ‘St. Valentine’s Day Massacre’ from Janet Yellen

If Fed chairwoman talks up chances of March rate hike she could spark a steep selloff in treasuries, analysts say

Janet Yellen could trigger a bond selloff with her remarks at the Senate Banking Committee
Janet Yellen could trigger a bond selloff with her remarks at the Senate Banking Committee Photo: Getty Images

Is Federal Reserve chairwoman Janet Yellen capable of conducting a bond-market bloodbath? That’s what some on Wall Street are wondering.

Albert Edwards, market strategist at Societe Generale and noted permabear, expects Yellen, who is set to deliver semiannual testimony to the Senate Banking Committee on Tuesday, will trigger a steep bond selloff by talking up the possibility that the central bank will raise interest rates in March.

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