Ahead of key economic data releases, U.S. Treasury yields extended their losses during the European afternoon trading session, as the market closely monitors the potential impact of these figures on the Federal Reserve’s policy stance. Konstantinos Chrysikos of Kudotrade noted in a report: “Investors have adopted a cautious stance ahead of a busy schedule of U.S. economic data releases, which could further shape market expectations regarding Federal Reserve policy.” The ISM Services PMI, along with the ADP and JOLTS labor market reports, are set to be released later today. According to LSEG data, money markets are currently pricing in Federal Reserve two rate cuts this year.According to Tradeweb, the yield on the 2-year U.S. Treasury note fell 1.4 basis points to 3.458%; the 10-year yield dropped 3.7 basis points to 4.141%; and the 30-year yield declined 4.2 basis points to 4.823%.