The U.S. economy is experiencing a strong rise, and market expectations for interest rate cuts are weakening.

[Coin World] On August 28 (UTC+8), the prices of short-term U.S. government bonds fell slightly as strong U.S. economic growth and employment data slightly weakened market expectations that the Fed would cut interest rates twice before the end of the year. The U.S. second-quarter economic growth rate was revised from 3% to 3.3%, exceeding economists' expectations. After the data was released, the yields on two to five-year U.S. Treasury bonds rose by at least two basis points, reaching a daily high. Meanwhile, the number of initial unemployment claims fell more than expected, which is a sign of a strong labor market.

Soudra Rajapa, head of US interest rate strategy at Societe Generale, stated: "Data continues to show that consumers remain resilient despite tariff uncertainties." Rajapa noted that the front end of the US Treasury yield curve is feeling the "pull" of whether the Fed should cut rates in September. She added that, although Fed Chair Powell "leans towards a more dovish stance, the data continues to undermine the necessity for a rate cut."