As investor focus shifts to the upcoming Fed meeting, U.S. Treasury yields remain unchanged.

This week's Federal Reserve meeting and interest rate decision were anticipated by investors, resulting in flat U.S. Treasury yields on Monday.

At 8:54 a.m. ET, the yield on the was down by 2 basis points at 3.557%.

Prices and yields move in opposite directions, with one basis point equal to 0.01%.

This week, investors are focused on the Federal Reserve meeting and interest rate decision, which will take place from Tuesday to Wednesday.

The Fed is expected to cut interest rates for the first time since March 2022, but uncertainty about the size of the reduction persists. Recent developments have led to growing expectations for a larger 50-basis-point cut.

The FedWatch tool from CME Group indicated that traders were pricing in a 61% chance of a 50-basis-point cut and a 39% probability of a 25-basis-point cut, a change from the previous week.

On Wednesday, the Fed will release its economic projections and Chairman Jerome Powell will provide hints about the future of rates and the economy during a post-meeting press conference.

Economic data releases, including August retail sales on Tuesday and building permit, housing start and existing home sales figures later in the week, will also be closely monitored by investors.

The Bank of England will reveal its latest interest rate decision this week, with markets uncertain about whether the central bank will lower rates again.