U.S. Treasury yields were lower on Wednesday, with investors poised to scrutinize economic data for further clues on the rate cut outlook.
The yield on the 10-year Treasury fell more than 4 basis points to 4.232%, after briefly rising above 4.3% in the previous session to notch its highest level since July. The yield on theĀ 2-year Treasury was down over 2 basis points at 4.094%.
Yields and prices move in opposite directions. One basis point equals 0.01%.
Ahead of the all-important October jobs report at the end of the week, investors will monitor a fresh batch of economic data on Wednesday.
The ADP employment report for October is scheduled to be published at 8:15 a.m. ET, with the Commerce Department set to report the first preliminary reading of U.S. third-quarter gross domestic product data shortly thereafter.
Advance economic indicators for September and pending home sales for September are also due on Wednesday morning.
Traders are betting on a quarter-point rate cut from the Federal Reserve next week, according to CME Group’s FedWatch Tool.
The Fed joined several other major central banks in easing monetary policy when it lowered rates by 50 basis points in September.
Policymakers are currently in a so-called blackout period ahead of their next meeting on Nov. 6-7, which means they will not be delivering remarks off the back of the data releases, or about their general policy and economic expectations.
