US Treasury Yields Rise Following Fed's Rate Decision

U.S. Treasury yields fluctuated ahead of the latest Federal Reserve interest rate decision, reflecting investor uncertainty over economic resilience, potential rate cuts, and ongoing trade tensions. The Fed is widely expected to hold interest rates steady, but policymakers highlighted increased risks of both higher inflation and unemployment. Markets continue to price in multiple rate cuts this year, though stronger-than-expected economic data has made traders more cautious about the timing and extent of monetary easing. Trade discussions between U.S. and Chinese officials in Switzerland are also being monitored closely, as President Trump maintains a firm stance on tariffs, which could further complicate the inflation outlook. Market analysts view longer-dated Treasurys as a safe haven and potentially attractive investment, especially if tariffs slow economic growth and raise recession risks. Investors are awaiting further guidance from Fed Chair Jerome Powell's post-meeting remarks for additional clarity on future policy direction.