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Global interest rate and credit markets are currently in a delicate balance. The market generally anticipates an increased likelihood of rate cuts over the next few quarters due to slowing economic growth and relatively stable inflation, although the magnitude of any cuts is expected to be limited. The labor market remains resilient, suggesting that policy adjustments are unlikely to be overly aggressive. In the short term, rates may stay relatively stable, particularly as markets await further guidance from central banks. Looking at the medium term, if economic data continues to weaken, markets may gradually price in expected rate cuts, potentially causing a slight decline in long-term yields, though overall volatility remains influenced by uncertainty. Investors are closely watching for insights from the upcoming speech by Federal Reserve Chair Jerome Powell at the Jackson Hole Symposium. The 2-year U.S. Treasury yield closed at 3.744%, while the 10-year yield ended at 4.298%.