FX.co ★ US 10-Year Yield Holds Advance Amid Fed Remarks

The yield on the US 10-year Treasury hovered around 4.14% on Tuesday, following a four-day streak of gains, as traders closely examined remarks from Federal Reserve officials for indications on future monetary policy. A number of officials advocated for a cautious approach to further rate cuts, highlighting signs that inflation is stabilizing. Conversely, newly appointed Governor Stephen Miran expressed concern that the Fed might be underestimating the impact of current policy stringency, potentially harming the labor market if substantial easing is not implemented. Federal Reserve Chair Jerome Powell is scheduled to address the public later in the day. Moreover, investors are eagerly anticipating the release of the PCE price index on Friday, the Fed's favored measure of inflation, which may provide fresh insights into economic trends. Additionally, ongoing congressional budget negotiations, aimed at preventing a government shutdown on September 30, have further contributed to the prevailing uncertainty among investors.