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[US Treasuries Follow Japanese Bonds in Attempt Rebound; Market Focuses on Fed Decision] ⑴ US Treasuries rose slightly ahead of the Fed's expected rate hike later in the day, mirroring the trend in Japanese government bonds, with the market anticipating further rate hikes. ⑵ As of 6:00 AM New York time, trading volume for 10-year US Treasury futures was approximately 355,000 contracts. ⑶ Some media outlets pointed out that US companies are currently unsure how to price correctly, with the latest inflation data indicating that prices are still rising too rapidly. Business owners and policymakers are grappling with whether high energy costs are a temporary problem or a long-term economic reality requiring immediate price increases. ⑷ Other reports indicate that US incomes hit record highs last year, with high-income households performing well and women's wages rising relative to men's. ⑸ European Commission President Ursula von der Leyen proposed a plan to make Canada the EU's first associate member state, stating that the EU must urgently rethink its partnerships. ⑹ EU member states reacted coldly to Canada's proposal to form a "unique alliance" with the EU, frustrating Canadian Prime Minister Mark Carney's vision. (7) US researchers warned this month of potential existential threats from AI, but their counterparts in other countries believe that the US's determination to dominate the technology makes it more difficult for all parties to find common ground on security issues. (8) OpenAI is considering a pre-IPO funding round with a valuation of approximately $1.2 trillion; the company raised $122 billion in March at a valuation of $852 billion. (9) UK inflation rose to 3.1%, but the data offered some comfort to the Bank of England. (10) Reports indicate that France will support Dutchman Knott to succeed Lagarde as president of the European Central Bank, provided that the position of chief economist of the ECB is held by a Frenchman; this move may face strong opposition from Germany.