On the eve of the Fed's decision, long-term U.S. Treasury yields fell slightly

On the eve of the Federal Reserve's interest rate decision (widely expected to be a 25 basis point rate cut), long-term US Treasury yields fell slightly, with the 10-year yield approaching the 4% mark. Short-term Treasury yields were little changed, as the market has already priced in the rate cut. However, if the decision includes any comments on future interest rate trends, yields could fluctuate. "Bond investors remain cautious, and we expect yields to react," said Frank Walbaum of Naga in a report. The market analyst noted that weakening economic expectations or policy guidance for further rate cuts could lead to further declines in Treasury yields and the US dollar; however, a more cautious signal could provide temporary relief to the market. (Jinshi)