The 10-year U.S. Treasury yield has fallen below 4.00% after September inflation data revealed a monthly increase of 0.3% and an annual rate of 3%, both lower than anticipated. This decline in yields has bolstered market expectations for potential easing of Federal Reserve policies. Additionally, the yield gap between 10-year and 2-year Treasuries has narrowed, suggesting diminished recession fears. Despite Scope Ratings downgrading the U.S. credit rating to AA-, which temporarily pushed yields higher, strong demand was observed in corporate bond auctions. Delays in data releases due to government shutdown concerns have added to market uncertainty.