TREASURIES -US yields extend fall as Fed's Powell alludes to September cut

Aug 22 (Reuters) - U.S. Treasury yields dropped on Friday after Federal Reserve Chair Jerome Powell pointed to a possible rate cut at the central bank's September meeting but stopped short of committing to it.

U.S. two-year yields, which are tied to the Fed's monetary policy, fell 9.4 basis points (bps) to 3.698% US2YT=RR.

The benchmark 10-year yield fell 6.9 bps to 4.262% US10YT=RR.