Treasury Yields Lower to Kick Off the Week
2026-03-16 12:17
By
Joana Taborda
1 min. read
The yield on the US 10-year Treasury note edged down about 4 bps to 4.24% on Monday, easing after a 15 bps surge to more than four-week highs last week, as traders continue to assess the conflict with Iran and its impact on inflation and the fiscal outlook.
Oil prices eased after Treasury Secretary Bessent said the US is allowing Iranian oil tankers to transit the Strait of Hormuz, while President Trump is urging other nations to help ensure the waterway remains open.
Still, uncertainty persists over when the conflict could end.
The US says it is in talks with Iran, although Tehran has denied claims that it is seeking a truce.
Meanwhile, the Fed will announce its monetary policy decision later this week.
While no change to the federal funds rate is expected, investors will closely watch policymakers’ assessment of the recent spike in energy prices and its impact on inflation and borrowing costs.
Markets are currently pricing in only one 25bps rate cut, likely not before December.