Treasuries gained for a third session as traders continued to recalibrate wagers on an interest-rate cut next month following dovish comments by Federal Reserve officials.
The gains pushed yields lower across most tenors with the 10-year note’s falling as much as three basis points to 4.03%, the lowest level this month. The yields on two-year notes — which are more sensitive to changes in monetary policy — were held back by the first of three auctions this week.