U.S. Treasury sold $166bn in 13- and 26-week bills and $139bn in two- and five-year notes; $44bn seven-year notes to auction Tuesday.
Benchmark 10-year yield rose 2.8 bps to 4.338%, while 2-year yield climbed 2.6 bps to 3.802% amid weak auction demand.
Two-year note auction priced slightly above bid-deadline rate, indicating investors required a concession; five-year sale showed cautious demand for intermediate maturities.
J.P. Morgan expects the Fed to hold rates steady through 2027, with markets pricing a pause into next year and later tightening.