Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., November 22, 2024.
U.S. Treasury yields were little changed on Monday as investors looked ahead to the Federal Reserve's final meeting of the year this week.
The 10-year Treasury yield was down 2.6 basis points at 4.375% after topping 4.4% on Friday. The 2-year Treasury yield was down 1.5 basis points at 4.226%.
One basis point equals 0.01%. Yields and prices move in opposite directions.
The Federal Open Market Committee's meeting on Tuesday and Wednesday is front and center for investors who are keenly awaiting the final U.S. interest rate decision of the year.
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As of Monday, investors were pricing in a 97% chance of a 25-basis-point interest rate cut, according to the CME FedWatch Tool.
Markets will focus on the Fed's updated policy statement and will follow Fed Chair Jerome Powell's press conference on Wednesday for hints about future interest rate decisions.
The Fed is currently undergoing a blackout period, which means committee officials are restricted from offering public comments ahead of the FOMC meeting.
Money Report
Logan Moulton, a portfolio manager at Intelligent Wealth Solutions, said inflation seems "stickier" than Fed officials had previously expected, and that there will be risks to putting upward pressure on inflation once the Trump administration takes over.
"Heading into 2025, I think they should at least pause," Moulton said.
The S&P Global Composite PMI flash, which measures U.S. business activity across the manufacturing and services sector, is due to be released Monday. A reading above 50 indicates expansion, while a print below that threshold signals a contraction.
Other economic data is also set to be published throughout the week, including retail sales for November on Tuesday, as well as weekly initial jobless claims and the GDP growth rate for the third quarter on Thursday.
