Treasury yields held steady on Wednesday as investors waited for fresh economic data. The Federal Reserve meets on Oct. 28, and traders are weighing how data and geopolitics shape the outlook for inflation and rates.
Yields on 10-year U.S. Treasurys were unchanged at 5.1211% early Wednesday, as investors looked to new data for clues on the U.S. economy ahead of next week's Fed decision. The 10-year yield is the main benchmark for mortgages, auto loans and credit card debt.
Shorter and longer maturities also stood still. The 2-year yield held at 4.7889%, a note that more closely follows short-term Fed decisions, while the 30-year yield held at 5.4320%. The 30-year yield often moves on geopolitical developments.
Oil rises on Middle East strikes
Geopolitics remained in focus. West Texas Intermediate futures rose 0.86% to $98.66 per barrel after fresh missile strikes on tankers in the Strait of Hormuz and Saudi energy facilities renewed concerns over oil supplies.
Traders are weighing how domestic data and these developments shape the outlook for inflation and interest rates before the Fed meets on Oct. 28.
Mortgage and jobless data due
The Mortgage Bankers Association is due to release its weekly average 30-year fixed mortgage rate later Wednesday. The previous reading rose 1 basis point to 7.5% in the week ended Oct. 9.
On Thursday, the Labor Department publishes initial jobless claims for the week ending Oct. 17. Claims rose by 1,000 to 199,000 in the week ending Oct. 10.
Source: CNBC
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