U.S. Treasury bond yields rose as traders reviewed the gross domestic product reading for the third quarter and looked ahead to key inflation data out later in the session.
The 10-year Treasury yield was less than one basis point higher at 4.27%. The 2-year Treasury note yield added one basis point to 4.16%.
Yields and prices move in opposite directions. One basis point is equivalent to 0.01%.
Treasurys
Investors monitored third-quarter gross domestic product data on Wednesday which showed the U.S. economy grew at an annual clip of 2.8%, behind the 3.1% estimate from economists polled by Dow Jones.
A reading on the Federal Reserve’s preferred inflation indicator, personal consumption expenditures price index for September is due out on Thursday morning. Economists polled by Dow Jones expect that the PCE grew by 0.2% on a monthly basis in the period and was up by 2.1% year-on-year.
A report on weekly jobless claims and the third-quarter reading on the employment cost index are also scheduled for release on Thursday.
The latest economic data comes as the Federal Reserve is set to hold its November meeting next week. Traders are currently betting on a quarter-point rate cut, according to CME Group’s FedWatch Tool.
The Fed enacted its first interest rate cut since the early days of the Covid-19 pandemic when it slashed half a percentage point off benchmark rates in September.
Policymakers are currently in a so-called blackout period ahead of the Nov. 6-7 meeting, which means they will not be delivering remarks off the back of the data releases, or about their general policy and economic expectations.