NEW YORK- US Treasury yields were little changed on Monday, rebounding from earlier declines, as investors awaited US trade policy details as President Donald Trump’s tariff deadline approached.
Trump said on Sunday that reciprocal tariffs he is set to announce this week will include all nations, not just a smaller group of 10 to 15 countries with the biggest trade imbalances.
He has promised to unveil a massive tariff plan on Wednesday, which he has dubbed “Liberation Day.” He has already imposed tariffs on aluminum, steel and autos, along with increased tariffs on all goods from China.
The White House said on Monday that any nation that treats the United States unfairly should expect to be targeted with tariffs and Bloomberg reported that Wednesday’s announcement would feature “country-based” tariffs.
Earlier in the day, yields moved lower and US equities fell sharply as Trump’s weekend comments raised recession fears after his tariff rhetoric has unnerved markets for weeks.
The benchmark US 10-year Treasury note yield was unchanged at 4.255 percent after falling to 4.184 percent, its lowest since March 20.
Goldman Sachs raised the probability of a US recession to 35 percent from 20 percent. It also projected three consecutive interest rate cuts by the Federal Reserve beginning in July, and reduced its 2025gross domestic product growth estimate to 1.5 percent from 2 percent.
