Bond Traders Are Fully Pricing In Three Fed Rate Cuts This Year
- Treasury 10-year yield falls below 4% to lowest since February
- Weakness in employment data is key ahead of July report Friday
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US government bonds, on the heels of their best month this year, rallied on economic data seen as cementing the case for three Federal Reserve interest-rate cuts this year.
The 10-year Treasury yield fell below 4% for the first time since February on Thursday after a manufacturing gauge and jobless claims data added to evidence that the US labor market is cooling. The yield on two-year notes slid by as much as 11.5 basis points to 4.14%.