Treasury yields hover near 2024 lows ahead of retail sales data, Fed meeting

U.S. bond prices were little changed early Tuesday, with 2 and 10-year Treasury yields trading near cycle lows ahead of a retail sales report and a Federal Reserve interest rate cut.

What’s happening

• The yield on the 2-year Treasury BX:TMUBMUSD02Y eased 0.2 basis points to 3.559%.
• The yield on the 10-year Treasury BX:TMUBMUSD10Y dipped just 0.5 basis points to 3.618%.
• The yield on the 30-year Treasury BX:TMUBMUSD30Y fell by 0.5 basis points to 3.618%.

What’s driving markets

The 2-year Treasury yield sits a fraction above its lowest since early September 2022, and the 10-year yield is hovering near its lowest since the start of June 2023, as the Federal Reserve prepares to start its two-day Federal Open Market Committee meeting.