The yield on the US 10-year Treasury note steadied around 3.98% on Tuesday after a volatile start to the week, as investors looked ahead to the Federal Reserve’s highly-anticipated policy meeting. The central bank is widely expected to cut interest rates by 25 basis points on Wednesday following cooler-than-expected September inflation released last week. Markets will also look for guidance on a possible rate cut in December and indications that the central bank may be preparing to scale back its quantitative tightening program. On the trade front, President Donald Trump and Chinese President Xi Jinping are expected to finalize a potential trade deal in their upcoming meeting this week that covers a wide range of issues including rare earth minerals, soybean purchases and TikTok.
