Treasury Yields Fall Amid Lack of Data; On Track To End Week With Gain

Treasury yields fall but are on track to end the week with a gain, after U.S. indicators and Fedspeak provided little room for hopes of an early interest rate cut by the Fed. “Yields and the dollar are steady to lower on the geopolitical news and absence of macro news,” Spartan’s Peter Cardillo says in a note, referring to Israel’s attack on Iran. Next week will bring output and inflation data expected to sharpen the outlook. As of today, most bets are on an initial 25-basis point cut in September, according to the CME’s FedWatch tool. The 10-year yield is at 4.609% and the two-year at 4.978%.