Bloomberg: Signs of a slowing U.S. economy strengthen market expectations for a rate cut by The Federal Reserve (FED)

On May 29, Bloomberg reported that U.S. Treasury bonds rose on Thursday after data showed that the world's largest economy contracted earlier this year, intensifying market bets that The Federal Reserve (FED) will lower interest rates twice before early 2026. The strengthening of U.S. Treasuries led to a slight decline in yields for the day. The latest revision of the U.S. first-quarter GDP data showed that economic growth was restrained due to weak consumer spending. Traders still bet that the FED will start the next round of rate cuts in October and expect a cumulative cut of 55 basis points by January next year.