Following the release of the December Consumer Price Index (CPI) data in the United States, traders are now predicting that the Federal Reserve will accelerate the timing of interest rate cuts to the end of July, earlier than the previously anticipated September. Consequently, the yield on 5-year US Treasury bonds declined to 4.49%, marking a drop of 10 basis points. Similarly, yields on Treasury bonds ranging from 3- to 10-years also experienced declines of at least 10 basis points.
