US 10-year yields held near 4.28% Monday as markets awaited jobs data that could boost Fed rate cut expectations. Powell noted rate cuts would have continued without tariff-driven inflation. Investors are also watching Trump’s tax and spending bill, which may add $3.3 trillion to the debt.
Confidence Falls as Rate Cut Bets Rise (30 June-4 July)The US dollar fell to 97.1, its lowest since Feb 2022, as Powell’s dovish stance and Trump’s rumored Fed pick raised concerns over central bank independence. Weak PCE data added pressure.
President Trump plans to finalize key trade deals before the July 9 tariff deadline, prioritizing the top 10 agreements while leaving room for extended talks if needed. India may be among the first countries to secure a deal, with Thailand also seeking to reduce tariffs to avoid a potential jump from 10% to 36% on its exports.
