Heightened Expectations of Early Rate Cuts Fuel Inflation Concerns as 10-Year U.S. Treasury Yields Rise

According to Jinse Finance, reports indicate that Trump is taking steps to dismiss Federal Reserve Chairman Jerome Powell. As a result, the US dollar has dropped sharply, and the yield on the US 10-year Treasury note has risen. The increased likelihood of an early interest rate cut has heightened concerns about a potential acceleration in inflation, which could in turn lead to higher borrowing costs in the future. Driven by market anxiety, the yield on the 10-year US Treasury rose from 4.44% before the news was released to 4.49%.