The 10-year U.S. Treasury yield traded around 4.78% on Thursday after retreating from three-year highs, with investors focused on the Federal Reserve’s monetary-policy outlook. New York Fed Bank President John Williams said inflation continues to ease as the effects of tariffs fade, while higher energy prices have not yet spread to other services. Separate data showed U.S. private employment growth slowed in August. Markets are nevertheless pricing in about a two-thirds chance of a Fed rate hike later this month after Chair Kevin Warsh made hawkish remarks on Friday. Investors are watching Thursday’s weekly jobless claims and Friday’s August payrolls report for further indications of labor-market conditions. Oil prices ended their rally after President Donald Trump said the latest attacks on Iran would be short-lived, reducing concerns about additional inflationary pressure.