Traders work on the floor at the New York Stock Exchange on Dec. 10, 2024.
Treasury yields fluctuated on Tuesday in a holiday-shortened trading session ahead of the Christmas break.
The yield on the 10-year Treasury turned flat at 4.594% after gaining 3 basis points to 4.613%, hitting its highest level since May 30. The benchmark rate climbed 6 basis points on Monday. The 2-year Treasury was also little changed at 4.341%, after rising 3 basis points in the previous session.
One basis point is equal to 0.01%. Yields move inversely to prices.
Tuesday will likely play out as a muted day for U.S. financial markets, given the early close at 1 p.m. ET for stock trading. The bond market stops activity at 2 p.m.
Markets will remain closed Wednesday for the Christmas holiday.
The 10-year benchmark yield jumped 13 basis points last week after the Federal Reserve pared down rate-cut projections, indicating only two more interest rate cuts lie ahead in 2025, down from four potential cuts that had been signaled in September.
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