Powell mentions the possibility of an early interest rate cut on the first day of congressional hearings
At the congressional hearing, Federal Reserve Chairman Jerome Powell mentioned the possibility of an early interest rate cut, as inflation may not be as strong as expected and the labor market is weak. This statement caused the benchmark 10-year U.S. Treasury yield to drop below 4.32%, and the 2-year Treasury yield to fall below 3.82%. Market risk warning, investors should be cautious
On the first day of the "special" congressional hearing on the Federal Reserve's monetary policy, Federal Reserve Chairman Jerome Powell mentioned the possibility of an early interest rate cut.
On Tuesday, June 24, Eastern Time, Powell testified at a hearing of the House Financial Services Committee. During the Q&A session, Powell stated that inflation might not be as strong as expected, and the decline in inflation and a weak labor market could mean an early interest rate cut by the Federal Reserve.
After Powell's remarks, the benchmark 10-year U.S. Treasury yield fell from around 4.35% to below 4.32%, hitting a new daily low, while the more rate-sensitive 2-year Treasury yield dropped below 3.82%, also reaching a new daily low.
Risk Warning and Disclaimer
The market has risks, and investment should be cautious. This article does not constitute personal investment advice and does not take into account the specific investment goals, financial situation, or needs of individual users. Users should consider whether any opinions, views, or conclusions in this article are suitable for their specific circumstances. Investment based on this is at their own risk
