UK government bond prices edged higher after a hawkish policymaker at the Bank of England highlighted the country's weak economic growth, fueling market speculation that the central bank could cut interest rates next month. European bond prices were largely flat, while US Treasury futures held steady, with the cash market for US government debt closed for a holiday. The yield on the 10-year UK gilt fell by 2 basis points to 4.39%. Bank of England rate-setter Catherine Mann stated in an interview with a British newspaper that the UK economy is "listless" and "lackluster," with high inflation leaving consumers "scarred" and leading to reduced spending. Traders are now pricing in a total of 48 basis points of interest rate cuts from the Bank of England this year, slightly higher than the roughly 46 basis points anticipated at the end of last week. Upcoming UK employment data on Tuesday, if it shows a slowdown in job growth, could reinforce expectations for rate cuts. Consumer price index data is scheduled for release on Wednesday. German government bonds were largely stable with light trading activity. Market data: The yield on the 10-year German bund decreased by 1 basis point to 2.75%. The German bund futures contract was essentially unchanged at 129.23. The yield on the 10-year Italian government bond fell by 1 basis point to 3.36%. The yield spread between Italian and German bonds widened by 1 basis point to 61 basis points. The yield on the 10-year French government bond declined by 1 basis point to 3.33%. The yield on the 10-year UK gilt decreased by 2 basis points to 4.39%.