[Market Analysis: Questioning the Federal Reserve's Independence Could Steepen the U.S. Treasury Yield Curve] Jin10 Data, December 8 – Candriam Chief Economist Florence Pisani and Global Head of Bonds Philippe Dehoux pointed out in a report that if the Federal Reserve's independence is questioned, the U.S. Treasury yield curve could steepen by 50 to 100 basis points. They stated that damage to the Federal Reserve's credibility would lead to a decline in short-term yields, reflecting market expectations for more significant rate cuts; however, long-term yields would rise as investors demand higher term premiums to compensate for uncertainties surrounding monetary policy coherence and the Federal Reserve's ability to control inflation.