Fixed-income investors pared positions in long-dated U.S. Treasuries before the Federal Reserve’s rate-setting meeting this week. Benchmark 10-year yields edged up five basis points to 4.32%, while futures data showed increased short positioning by macro funds. Portfolio managers cited uncertainty around policy guidance and inflation trajectory. The shift follows strong economic prints that tempered expectations for aggressive easing. Analysts at Morgan Stanley said duration risk remains elevated as investors await confirmation of the Fed’s next steps on rate normalization.