Story perspectives

U.S. Treasury Yields Steady Amid Government Shutdown Uncertainty

10/10/2025

Summary

Story summary

U.S. Treasury yields remained stable during the ongoing government shutdown, which has delayed key economic data releases.
The 10-year yield increased to 4.142%, and the 30-year yield rose to 4.732% after a $22 billion bond auction showed muted demand.
Investors are now looking at alternative indicators, such as the University of Michigan's consumer sentiment report, while awaiting clarity on potential Federal Reserve rate cuts.
Market expectations indicate a 94% chance of a 25-basis-point cut later this month, but uncertainty remains due to the absence of official data.

History

Historical Context

The 2013 U.S. government shutdown, lasting from October 1 to October 17, stemmed from a budget impasse over the Affordable Care Act, leading to the furlough of approximately 800,000 federal employees. This shutdown cost the economy an estimated $24 billion and highlighted the ongoing tensions between Congress and the presidency, reflecting a fragile economic environment influenced by government actions.

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Story summary

U.S. Treasury yields remained stable during the ongoing government shutdown, which has delayed key economic data releases.
The 10-year yield increased to 4.142%, and the 30-year yield rose to 4.732% after a $22 billion bond auction showed muted demand.
Investors are now looking at alternative indicators, such as the University of Michigan's consumer sentiment report, while awaiting clarity on potential Federal Reserve rate cuts.
Market expectations indicate a 94% chance of a 25-basis-point cut later this month, but uncertainty remains due to the absence of official data.

1 / 2