US treasury bond yields fall, market awaits the Federal Reserve meeting this week

US Treasury yields fell during the Asian trading session, reversing the trend from last week, with the market focus shifting to the upcoming Federal Reserve meeting this week and its response to the Middle East crisis. According to data from the London Stock Exchange Group, the money market expects the Federal Reserve to keep policy rates unchanged and only cut rates once this year. The surge in oil prices following the outbreak of the Middle East conflict, due to its potential inflation impact, has led the market to reduce expectations of rate cuts since the start of the war. According to Tradeweb data, the yield on the 2-year US Treasury bond fell by 2.5 basis points to 3.706%; the yield on the 10-year US Treasury bond fell by 2.4 basis points to 4.259%; and the yield on the 30-year US Treasury bond fell by 1.8 basis points to 4.889%.