Treasury yields mixed as investors assess stock market outlook

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U.S. Treasury yields were mixed on Thursday as investors closely watched developments on the stock market and digested the latest inflation-related data.

That followed theIn both cases, many investors turned to traditionally safer assets like government bonds, sending yields lower.reflected a 0.1% price decline on a monthly basis. Economists had previously expected a 0.3% rise according to a Dow Jones survey.in February, in line with expectations.

The Federal Reserve is due to meet next week and will be making its latest interest rate decision then. Investors had been expecting a 50 basis point hike, but are now anticipating a smaller one of 25 basis points as they expect the Fed could prioritize stability in light of market turmoil. On Thursday, building permit figures and housing starts for February and weekly initial jobless claims are due.

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Market Stress Snarls Treasury TradingU.S. Treasurys trading is drying up in today's session, making it difficult to lock in prices. That’s driving extreme moves, with the 2-year yield down half a point. Perhaps Treasury should supply more bonds by raising the budget deficit? US Treasurys trading drying up? Guess it's time to trade in my bonds for magic beans and ride the yield rollercoaster. 🎢 Who needs stable prices anyway? Stability is sooo overrated! 🙄 BondBungeeJump YieldYoyo Did Yellen hand Zelensky the keys when she was over in Ukraine?
Source: WSJ - 🏆 98. / 63 Read more »