FX.co ★ US 10-Year Treasury Yield Close to One-Month Low

The yield on the 10-year US Treasury remained steady around 4.0% on Wednesday, showing minimal change as the Thanksgiving holiday approached. It continued to hover near its lowest point in a month, as traders evaluated the Federal Reserve's forthcoming policy moves. Expectations for another 25-basis-point rate cut have risen, now surpassing 80%, spurred by weak US economic data and dovish comments from Fed officials. Sentiment improved with Bloomberg’s report that Kevin Hassett, Director of the White House National Economic Council, is the frontrunner for the next Federal Reserve Chair—a choice investors interpret as supportive of President Trump’s preference for lower interest rates. Additionally, yields faced downward pressure as the Federal Deposit Insurance Corporation (FDIC) planned to ease the Enhanced Supplementary Leverage Ratio (SLR) regulations, allowing major banks to hold more Treasuries.