Market betting that the Federal Reserve will cut interest rates at least once this year, causing US bond yields to fall.

According to the Wise Finance APP, the market still expects at least one interest rate cut by the Federal Reserve in 2025, leading to an increase in the price of US Treasury bonds. Previously, retail sales data in May were mixed, but the auction of inflation-protected bonds performed well. Due to concerns about escalating conflicts in the Middle East, risk aversion sentiment has increased, causing US Treasury bonds to rise further. Yields on various maturities of US Treasury bonds have decreased by 2 to nearly 7 basis points. The 2-year US Treasury bond rate (most significantly affected by changes in Federal Reserve policy) decreased by 2 basis points to 3.95%, while the 10-year US Treasury bond yield decreased by 6 basis points to 4.39%.