US Treasury yields held steady on Sunday as market participants prepared for the Federal Reserve's upcoming policy meeting, which will mark the first interest-rate decision under new Chair Kevin Warsh.
The central bank is scheduled to convene on July 28 and 29, a critical juncture that will define the tone of US monetary policy for the remainder of the year.
Markets are currently pricing in a high probability that the Fed will maintain its benchmark interest rates unchanged.
However, the underlying economic landscape has grown more uncertain compared to the start of the year, complicating the Fed's calculus.
Traders are closely watching for any signals regarding the trajectory of the yield curve and the dollar, as the Fed's stance will directly influence borrowing costs and equity valuations.
The decision comes amid a complex backdrop of conflicting pressures.