The 10-year U.S. Treasury yield fell below 5% early Wednesday after reaching 5.03% on Tuesday, as markets focused on a potential 25-basis-point Federal Reserve rate increase at the end of its two-day meeting. CME FedWatch put the probability of a hike at 89.5%, which would lift rates to a one-year high. Persistent inflation, higher oil prices and hawkish comments from Federal Reserve policymakers supported the rise in yields, although soft New York manufacturing data and renewed bond buying slowed the move. Treasury Secretary Scott Bessent attributed higher yields to global issues while acknowledging the need to address Washington's widening fiscal deficit. He also defended the Treasury's decision to double longer-term debt buybacks, but yields had continued rising, leaving investors watching whether the 10-year rate's move above 5% would prompt further action.