U.S. Treasury yields were mixed on Tuesday as investors assessed U.S. President Donald Trump’s 30-day tariff pause and awaited more economic data.
At 4 a.m. ET, the yield on the 10-year Treasury was up two basis points to 4.5692%, while the 2-year Treasury yield was down less than a basis point to 4.2573%.
One basis point is equal to 0.01%, and yields and prices move in opposite directions.
Treasurys
Investors are monitoring Trump’s tariff policies after he signed an executive order imposing a 25% tariff on imports from Mexico and Canada, as well as a 10% duty on China. The U.S. does roughly $1.6 trillion in business with the three countries.
However, markets were relieved on Monday as Trump agreed to put a pause on tariffs on Mexico and Canada for at least 30 days, as both countries agreed to implement measures preventing the trafficking of opioid fentanyl into the U.S.
China announced on Tuesday that it will respond with a series of retaliatory measures against the U.S. and will impose additional tariffs of up to 15% on select imports.
On the economic front, investors are awaiting the Job Openings and Labor Turnover Survey for December, which will show all open positions on the last business day of the month. Data on factory orders for December will also be published on Tuesday.
Additionally, investors will monitor speeches from Federal Reserve Bank of Atlanta President Raphael Bostic and Federal Reserve Bank of San Francisco President Mary Daly.
Investors are anticipating the January nonfarm payrolls report in particular, which is due to published on Friday and will provide insights into the employment picture.