Yields on 2-year, 10-year, and 30-year Treasuries fall as market focuses on Fed rate cuts

  • Treasury yields dip ahead of jobless claims and housing data
  • Yield on 2-year Treasury drops 3.4 basis points
  • Yield on 10-year Treasury falls 3 basis points
  • Yield on 30-year Treasury eases by 1.7 basis points
  • Sturdy U.S. economic data and pushback by Fed officials affect yields
  • U.S. economic updates and Fed officials’ comments expected
  • Markets pricing in a 97.4% probability of unchanged interest rates
  • Chances of rate cut in March priced at 63%
  • U.S. Treasury to auction $18 billion of 10-year TIPS

Bond yields fell on Thursday as traders continued to focus on the expected Federal Reserve interest rate cuts. The yield on the 2-year Treasury dropped 3.4 basis points, while the yield on the 10-year Treasury fell 3 basis points. The yield on the 30-year Treasury eased by 1.7 basis points. This dip in yields comes after sturdy U.S. economic data and pushback by Fed officials against rate-cut expectations. Market attention is now on upcoming U.S. economic updates, including jobless claims, manufacturing survey, and housing data. Fed officials will also be making comments on the economic outlook. Currently, markets are pricing in a high probability of unchanged interest rates, but the chances of a rate cut in March have decreased. Additionally, the U.S. Treasury will be auctioning $18 billion of 10-year TIPS.

Public Companies: Treasury (BX:TMUBMUSD02Y)
Private Companies:
Key People: Raphael Bostic (Atlanta Fed President)

Track all markets on TradingView

Factuality Level: 7
Justification: The article provides information about bond yields and the factors driving the market. It includes specific data on the yield of different Treasury bonds and mentions recent economic data and comments from Fed officials. The article also mentions market expectations and probabilities of rate cuts. Overall, the information provided seems factual and based on current market conditions.

Noise Level: 7
Justification: The article provides information on bond yields and the factors driving the market. It includes data on Treasury yields and discusses recent economic data and Fed officials’ comments. However, it lacks in-depth analysis and does not provide actionable insights or solutions.

Financial Relevance: Yes
Financial Markets Impacted: Bond yields

Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article discusses the impact of expected Federal Reserve interest rate cuts on bond yields. While there is no mention of an extreme event, the information provided is relevant to financial markets.

Reported publicly: www.marketwatch.com