FX.co ★ US 10-Year Yield Climbs for Second Day

The yield on the US 10-year Treasury climbed above 4.08% on Monday, marking its second day of gains as investors looked ahead to the Federal Reserve’s upcoming policy decision. Current market predictions suggest a 96% likelihood of a 25 basis point cut on Wednesday, with a smaller, 4% probability of a more significant half-point reduction. This follows recent US data indicating a slowdown in the labor market and moderate inflation levels. Additionally, traders are monitoring whether Stephen Miran will secure confirmation as a Federal Reserve governor ahead of the meeting, while the Empire State Manufacturing Index, expected later today, is anticipated to offer new insights into the state of the economy.