The Globe and Mail reports in its Thursday edition that the Federal Reserve's recent easing cycle has raised concerns about potential inflation in the U.S. bond market. A Reuters dispatch to The Globe says that yields on longer-dated Treasuries, which are sensitive to inflation, have increased. Some investors worry that the Fed's focus on job market support could lead to a resurgence in price pressures. State Street Global Markets analyst Cayla Seder believes long-term yields will continue to rise as the market anticipates stronger growth and inflation. Fed chair Jerome Powell described the recent 50-basis-point-interest-rate cut as a "recalibration" aimed at maintaining labour market strength while working toward the 2-per-cent inflation goal. The Goldman Sachs U.S. financial conditions index, a measure of the availability of credit in the economy, eased over the course of this year despite interest rates remaining at their highest in over two decades. The day after the Fed's decision, it decreased to its lowest since May, 2022. "Investors are once again concerned with the specter of reflation," BMO Capital Markets rates strategists said in a note. Some fund managers are adding inflation protection to their portfolios.