US 10Y Yield Holds Gains on Strong Data
The yield on the 10-year US Treasury note held around 4.46% on Wednesday after climbing about 10 basis points in the previous session, as signs of a resilient economy reinforced expectations of a hawkish Federal Reserve. Data released on Tuesday showed US job openings rose to a two-year high in May, indicating labor demand remained strong despite signs of softer hiring. Markets are now pricing in at least one Fed rate hike this year, with the first potentially coming as early as September. Investors are now awaiting the latest US monthly jobs report for further clues on the strength of the labor market and the outlook for Fed policy. Meanwhile, markets continued to monitor the ongoing US-Iran peace talks in Qatar amid hopes for a lasting ceasefire agreement, although the two sides were not expected to hold direct talks.

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