10-Year T-Note futures hit new lows as Treasury yields surge.

10-Year T-Note futures traded lower for a third consecutive session, pressing into the 104 handle at 104'06 to mark new contract closing lows. Market participants digested the latest PCE inflation figures and revised GDP data. While PCE inflation came in below expectations, it remains above the Federal Reserve's 2% target, shifting initial buying pressure into selling across the back end of the curve. Consequently, short-end yields declined while long-end yields moved higher, driving a curve steepening. The U.S. 10-Year Treasury yield rose approximately 3.5 basis points to near 5.30%, maintaining multi-decade highs. Meanwhile, probability for an October Fed rate hike dropped to 40% on the CME FedWatch Tool.