FX.co ★ US 10-Year Yield Steady Ahead of Key Jobs Data

The yield on the 10-year US Treasury remained at approximately 4.38% on Friday, as market participants awaited the July employment data, a crucial indicator of labor market vitality that could influence future Federal Reserve policy decisions. Data from Thursday revealed that core Personal Consumption Expenditures (PCE) prices, the Federal Reserve's preferred measure of inflation, increased by 0.3% in June and by 2.8% year-on-year. This development has introduced uncertainty regarding the potential for a rate cut in September. Concurrently, President Donald Trump renewed his criticism of Federal Reserve Chair Jerome Powell for maintaining interest rates, disrupting a period of relative calm in the relationship between the White House and the central bank. On the trade front, President Trump upheld a 10% global tariff and implemented significant retaliatory duties, reaching up to 41%, on nations without finalized trade agreements. Furthermore, he imposed an additional 40% tariff on goods identified as being transshipped to circumvent existing tariffs, thereby intensifying market wariness.