American treasury yields were slightly changed on Tuesday because concerns about the state of the American economy persisted.
Measure 10-year treasury yield It was 3 base points higher at 4.244%. AND Two -year -old treasury yield He was the last apartment at 3.897%, after falling to the lowest level since October.
One basic point is equal to 0.01%, and yields and prices move in opposite directions.
On Tuesday, investors were concerned about the possibility of a recession that hit the US economy, after the president Donald Trump gave objections Over the weekend that the economy is in the “transitional period”.
With the effects of Trump’s newly implemented tariff policies on global trade and concern about the gross domestic product that declined in the first quarter, the president was asked about recession.
“I hate predicts such things.” Said Trump. “Look, we’ll have disorders, but we’re fine with that.”
This was followed by the comments of the Minister of Scotta Bessent Treasury, who said CNBC on Friday that the economy could see “Detox period“How Trump’s administration reduces federal consumption.
“President Trump and the administration have made it clear to tolerance for the market pain in the face of their wider goals,” said Ross Mayfield, a Baird investment strategist. “At this point, I’m still at the camp that we are not on the threshold of the recession, but maybe slowing down or frightened growth. Undeovers are usually shorter and milder than recessionary.”
Large economic editions of the week come in the form of consumer prices index reports that would reach Wednesday morning and the manufacturer’s price index on Thursday morning.
“It will be really important that we do not see the upside down on CPI, because at this point the FED has a lot of dry powder to step down to reduce the rates and try to increase demand if economy was meaningful slow. But they can only do it if they think inflation expectations and inflation are well anchored,” Mayfield added.
