How the Fed Funds Rate Anchors Every Bond Yield

Episode 27 of The Bond Market Podcast with Fexingo cuts to the foundation: the fed funds rate. Lucas and Luna walk through how a 3.62% effective rate shapes everything from 2-year notes to 30-year bonds, using the latest data from June 2, 2026. They explain why short-term yields track the fed funds rate almost mechanically, how the yield curve's current 42-basis-point spread between 10-year and 2-year reflects rate cut expectations, and what happens when the Fed stops or starts moving. No jargon, no fluff — just a clear mental model for anyone who wants to understand what moves bond prices. Plus, a look at how Greg Abel's recent Berkshire dealmaking fits into the rate environment. If you've ever wondered why Treasury yields seem to dance to the Fed's tune, this episode connects the dots. #FedFundsRate #TreasuryYields #BondMarket #YieldCurve #FederalReserve #MonetaryPolicy #InterestRates #ShortTermRates #LongTermRates #TwoYearYield #TenYearYield #ThirtyYearYield #SpreadTrading #GregAbel #BerkshireHathaway #Economics #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo