US 10-Year Yield Hits 2-½-Month Low
2026-02-17 02:35
By
Jam Kaimo Samonte
1 min. read
The yield on the US 10-year Treasury note fell toward 4% on Tuesday, reaching its lowest level since early December as soft inflation data from last week reinforced expectations for Federal Reserve interest rate cuts.
Markets are currently eyeing a June rate cut, with roughly 62 basis points of total easing expected this year, implying two quarter-point cuts and about a 50% probability of a third.
However, stronger-than-expected payrolls, which rose by the most in over a year, and a surprise drop in the unemployment rate pointed to a stabilizing labor market.
Investors now await the minutes from the Fed’s last meeting, advance GDP data, and the core PCE price index, the central bank’s preferred inflation gauge, for further guidance.
US bond markets were closed on Monday for the Presidents’ Day holiday.