According to Jinshi Data, ING Bank interest rate strategists said that US President Trump's questioning of the Federal Reserve's policy has failed to help long-term Treasury bonds. Removing Fed Chairman Powell does not seem to be on the table, but Trump criticized the Fed's slow pace of rate cuts.
Strategists note that Powell's term ends in May 2026, when Trump will appoint a new chairman. U.S. Treasuries appear to be stabilizing after a volatile phase in April. The 10-year Treasury yield fell 1 basis point to 4.256%, according to Tradeweb data.
LSEG data showed that money markets had fully priced in a U.S. interest rate cut in July, with a June cut also likely.