FX.co ★ US 10-Year Treasury Yields Edges Lower After Fed

On Wednesday, the US 10-year Treasury note's yield dipped to 4.26% following the Federal Reserve’s decision to maintain steady interest rates, aligning with prior expectations. Amidst this, Federal officials highlighted a growing uncertainty regarding the US economic outlook. They pointed to increasing risks associated with higher unemployment and inflation. Despite this backdrop, traders are factoring in the possibility of three rate cuts by the Federal Reserve within the year.

In the realm of international trade, Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer are slated for discussions with their Chinese counterparts. These meetings, taking place in Switzerland, aim to address prevailing economic and trade concerns. Nonetheless, President Trump has made it clear that he is not prepared to reduce tariffs on China as a preliminary tactic to enhance trade negotiations with Beijing.