Yesterday, U.S. Treasury yields remained unchanged across the curve, with the 10-year yield holding steady at 4.01%. This stability in yields reflects a cautious market sentiment as investors digest recent economic data and Fed communication. Credit spreads also saw no movement, with Moody's AAA corporate yield remaining at 5.20% and high-yield spreads stable at 310 bp. The lack of change in yields and spreads suggests a risk-off tone as market participants await further guidance from upcoming economic indicators. Globally, bond markets mirrored the U.S. trends, with German 10-year yields at 2.62% and UK 10-year yields at 4.57%, both unchanged. Forex markets exhibited some volatility, particularly in commodity-linked currencies, with the New Zealand dollar and Australian dollar appreciating against the USD by 0.95% and 0.72%, respectively. The euro also gained 0.34% versus the dollar, indicating a modest appetite for riskier assets, despite the overall cautious tone in U.S. fixed income markets. Equity markets displayed mixed performance, with Asian indices showing resilience; the KOSPI and Nikkei 225 rose by 2.94% and 1.62%, respectively. Meanwhile, U.S. indices closed flat, reflecting the indecisiveness among investors. In commodities, precious metals found some support, with platinum and silver gaining 3.65% and 1.67%, respectively. Conversely, heating oil declined sharply by 3.05%, indicating sector-specific pressures within the energy complex. In the crypto space, the bullish momentum continued, led by Bitcoin and Binance Coin, which rose 3.71% and 3.81%, respectively, as investors sought higher returns amid the stable rate backdrop. Looking ahead, traders should focus on the upcoming economic data releases, particularly the core PCE price index and jobless claims, which could provide insights into inflationary pressures and employment trends. The unchanged yields suggest a potential opportunity for duration longs if inflation breakevens continue to fade, particularly given the current economic landscape. Additionally, the rotation into defensive sectors may gain traction if risk sentiment deteriorates further. In summary, the market tone remains cautiously risk-off as participants navigate a period of stable yields and mixed signals from various asset classes. Investors should remain vigilant for key macroeconomic indicators that could shift sentiment and influence positioning across equities, bonds, and commodities.