FX.co ★ US 10-Year Yield Holds Steady Ahead of Fed Meeting

The yield on the 10-year US Treasury note remained around 4.4% on Tuesday, marking the fourth consecutive session of minimal fluctuation as investors anticipate the Federal Reserve's policy decision. The Fed is anticipated to maintain the interest rates unchanged on Wednesday; however, investors will be keenly observing for any indications of a potential rate reduction in September. Attention is also directed towards the upcoming Personal Consumption Expenditures report— the Fed’s preferred metric for inflation—for insights into how tariffs might be affecting price levels. A range of labor market data is scheduled for release this week, culminating with the highly anticipated monthly jobs report on Friday. Meanwhile, trade issues are also in the spotlight following a weekend agreement between the US and European Union that enacts a 15% tariff on most EU exports. This deal is perceived to disproportionately benefit the US economy.