HomeUSABond yields tick lower, cooling off after Fed's meeting minutes released

Bond yields tick lower, cooling off after Fed’s meeting minutes released

Bond yields ticked downward on Thursday, cooling after the previous session’s rise following the release of the Federal Reserve Open Market Committee’s July meeting minutes.

The yield on the benchmark 10-year Treasury note was just under one basis point lower at 2.886%, while the yield on the 30-year Treasury bond traded 1 basis point lower at 3.135%. The yield on the shorter-term 2-year Treasury note was one basis point lower at 3.285%.

Yields move inversely to prices, and a basis point is equal to 0.01%.

“With inflation remaining well above the Committee’s objective, participants judged that moving to a restrictive stance of policy was required to meet the Committee’s legislative mandate to promote maximum employment and price stability,” the minutes stated. The Fed raised rates by 75 basis points at its July 26-27 meeting.

The deliberation came as monetary policymakers around the world attempt to navigate an environment of both high inflation and signs of economic slowdown.

Homebuilders say a U.S. housing recession is already underway, having reported weakening housing demand since June.

Markets are looking ahead to data releases on employment scheduled Thursday, including a variety of jobless claims as well as home sales figures. Auctions for 13-week and 26-week bills are also due.



Please enter your comment!
Please enter your name here

New Updates