19.02.202603:02:27UTC+00US 10-Year Yield Edges Higher

The yield on the 10-year US Treasury note moved toward 4.1% on Thursday, rising for a third straight session as firm US economic data and hawkish signals from the Federal Reserve pushed rates higher. Minutes from the Fed’s latest meeting showed officials divided over the path of interest rates, with several policymakers wanting language that would have explicitly kept the option of further hikes on the table if inflation stayed above target.

Markets slightly pared back expectations for rate cuts this year, though traders still anticipate two 25-basis-point reductions before year-end. Recent releases underscored the economy’s resilience: industrial production logged its biggest gain in nearly a year, core capital goods orders beat forecasts, and housing starts rose to a five-month high.

Investors are now focused on upcoming data on jobless claims, PCE inflation, and GDP for clearer signals on the policy outlook. At the same time, demand was soft at the Treasury Department’s $16 billion auction of 20-year bonds.