Woofun AI reports that Goldman Sachs Asset Management identifies a sharp market reaction to the Federal Reserve's unequivocally hawkish messaging, which prioritizes inflation containment. This stance has driven the probability of a September rate hike beyond 80%, with expectations for multiple increases in October. Kay Haigh highlights that this policy recalibration is set to amplify volatility in the short end of the yield curve. Consequently, 2-year Treasury yields jumped 13 basis points on Wednesday, marking the largest surge since April 2025, while longer-dated bonds remain stable.