U.S. Treasury yields fell on Thursday as investors awaited economic data and comments from Federal Reserve officials that could provide hints about the central bank’s monetary policy plans.
At 3:56 a.m. ET, the yield on the 10-year Treasury was down by almost four basis points to 3.5623%. The 2-year Treasury was last trading at around 4.2166% after falling by close to five basis points.
Yields and prices move in opposite directions and one basis point is equivalent to 0.01%.
Treasurys
| TICKER | COMPANY | YIELD | CHANGE | %CHANGE |
|---|---|---|---|---|
| US1M | U.S. 1 Month Treasury | 3.95% | +0.201 | 0.00% |
| US3M | U.S. 3 Month Treasury | 5.309% | +0.155 | 0.00% |
| US6M | U.S. 6 Month Treasury | 5.078% | -0.014 | 0.00% |
| US1Y | U.S. 1 Year Treasury | 4.843% | +0.018 | 0.00% |
| US2Y | U.S. 2 Year Treasury | 4.214% | -0.051 | 0.00% |
| US10Y | U.S. 10 Year Treasury | 3.566% | -0.036 | 0.00% |
| US30Y | U.S. 30 Year Treasury | 3.769% | -0.02 | 0.00% |
Investors assessed what could be next for Fed policy, especially regarding interest rates. Many are expecting the central bank to announce another 25 basis point interest rate hike after its next meeting on May 2-3.
The Fed indicated at its last meeting in March that a pause of rate hikes could be on the horizon, depending on economic data.
Both the latest consumer and producer price index reports in the U.S. have since indicated that inflation could be easing. Globally, however, the picture has been less clear, with the U.K.’s latest inflation reading, published Wednesday, remaining unexpectedly high.
That fueled investor concerns about further interest rate hikes, and rates staying elevated for longer — a prospect which Fed officials, including Atlanta Fed President Raphael Bostic, have also hinted at.
On Thursday, investors will be scanning remarks from Fed Governor Christopher Waller, Atlanta Fed President Raphael Bostic and Cleveland Fed President Loretta Mester for fresh policy hints.
Existing home sales and initial weekly jobless claims figures are also due Thursday.
