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Treasury yields edged mostly higher on Thursday after data showed the U.S. economy grew steadily this month.
What’s happening
-
The yield on the 2-year Treasury
BX:TMUBMUSD02Y
rose 6.5 basis points to 4.718% from 4.653% on Wednesday. -
The yield on the 10-year Treasury
BX:TMUBMUSD10Y
was little changed at 4.32%, compared with 4.326% on Wednesday. -
The yield on the 30-year Treasury
BX:TMUBMUSD30Y
dipped 3.1 basis points to 4.46% from 4.491% on Wednesday. - Wednesday’s levels were the highest since Nov. 30 for the 10- and 30-year rates, based on 3 p.m. Eastern time figures from Dow Jones Market Data.
What’s driving markets
Data released on Thursday showed that weekly initial jobless-benefit claims fell to a five-week low of 201,000 in mid-February, signaling that the labor market remains strong. In addition, a pair of S&P Global business surveys found that the economy expanded at an above-average rate in February.
The 10-year Treasury yield was trading near its highest level in almost three months after the minutes of the Federal Reserve’s last policy meeting, released on Wednesday, showed that the central bank remained wary of starting to cut interest rates too soon. A poorly received 20-year Treasury auction earlier on Wednesday added to the upward pressure on yields.
Treasury will auction $9 billion of 30-year Treasury Inflation-Protected Securities, or TIPS, at 1 p.m. Eastern time on Thursday.
A number of Fed officials are due to speak on Thursday. Philadelphia Fed President Patrick Harker is set to appear at 3:15 p.m., while Fed governor Lisa Cook and Minneapolis Fed President Neel Kashkari are scheduled to speak at 5 p.m. and Fed governor Christopher Waller is due to speak at 7:35 p.m.
