10-year Treasury yield dips as investors assess interest rate outlook for 2026

The moves come as traders digest the latest economic data and assess the Federal Reserve's monetary rate path.

10-year Treasury yield dips as investors assess interest rate outlook for 2026

TL;DR

  • U.S. 10-year Treasury yield fell slightly to 4.112% after the Christmas holiday.
  • The 2-year Treasury yield also decreased to 3.461%.
  • Recent economic data included lower-than-expected initial jobless claims (214,000 for the week ending Dec. 20).
  • The U.S. economy grew by 4.3% in the third quarter, its fastest pace in two years.
  • An equity research head anticipates at least one Fed interest rate cut next year, potentially fewer than investors expect.