Treasury yields rise ahead of FOMC rate decision

FXStreet (Mumbai) – The Treasury prices in the US erased gains, thereby pushing the yields higher ahead of the FOMC rate decision due later today.

The yield on the benchmark 10-yr treasury note in the US now trades 2.1 basis points higher on the day around 2.05%. The more policy sensitive 2-yr currently trades 1.6 basis points higher at 0.633%.

Markets do not expect the Fed to change rates today, but the policy statement is widely expected to acknowledge slower payroll gains while still describing growth as “moderate.” Overall, the markets believes a “no show” today shall keep the doors open for a lift-off in December.

Meanwhile, bond yields across the Eurozone continued to drop in anticipation of a cut in the deposit rate cut (currently at -0.20%) in December.

The Treasury prices in the US erased gains, thereby pushing the yields higher ahead of the FOMC rate decision due later today.

(Market News Provided by FXstreet)