U.S. Treasury Yields Drop After May Inflation Cools

U.S. Treasury yields retreated across the board as fresh data revealed a moderation in core inflation for May. The easing price pressures have reignited investor optimism regarding a potential shift in Federal Reserve monetary policy, signaling that cooling consumer demand may be curbing stubborn inflation. Market participants are now recalibrating interest rate expectations, leading to a notable decline in government bond yields as appetite for fixed-income assets increases.