Banking Sector Woes Propel Treasury Rally, Rate Cut Forecasts Treasury yields saw a significant drop on Thursday, driven by a continued downturn in U.S. financial stocks, which fueled trader speculation of an accelerated timeline for Federal Reserve interest rate cuts. The five-year U.S. Treasury yield decreased by up to 9 basis points, reaching its lowest point since June at 3.75%. This movement reflects a growing anticipation among traders for a more substantial total reduction in Fed interest rates throughout the year, with swap contracts even hinting at the possibility of rate cuts commencing as early as March. This shift in expectations comes despite Federal Reserve Chair Jerome Powell’s recent remarks suggesting such moves were unlikely in the near term. « Previous Article Next Article » Share This Article Choose Your Platform: Facebook Twitter Google Plus Linkedin Related Posts Can I Buy Gold With a Credit or Debit Card? READ MORE Market Predictions Shift: Fed Rate Cut Now Seen as June Event READ MORE Dimon Highlights Commercial Real Estate's Recession-Contingent Future READ MORE Gold: Yet another investment bank ups the ante as political pressures increase READ MORE S&P 500 Hits 20th Record This Year in Risk-On Push: Markets Wrap READ MORE Add a Comment Cancel replyYour email address will not be published. Required fields are marked *Name * Email * Save my name, email, and website in this browser for the next time I comment. Comment