The 10-year Treasury yield edged higher on Tuesday as investors awaited further economic data and looked ahead to the Federal Reserve’s interest rate decision.

The 10-year Treasury yield rose more than 1 basis point to 4.227%, while the 2-year Treasury yield fell less than 1 basis point to 3.591%. The yield on the 30-year U.S. Treasury rose more than 1 basis point to 4.823%.

One basis point is equivalent to 0.01%, and yield and price are inversely related.

The Fed’s interest rate decisions will be the main focus for investors this week, with policy decisions expected to be announced Wednesday afternoon.

Traders widely expect the central bank to keep interest rates unchanged in its target range of 3.5% to 3.75%, but will be watching the subsequent press conference for clues about future monetary policy.

Investors also expect a cut of two-quarters of a percentage point by the end of 2026, the newspaper said. CME FedWatch Toolsafter the Fed cuts interest rates three times in 2025.

Trade uncertainty also continues to dominate headlines, with President Donald Trump threatening to impose tariffs of up to 25% on South Korean cars, medicine and lumber on Monday.

President Trump said this was due to delays in South Korea’s parliamentary approval of the deal reached with the US last summer.