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U.S. Treasury yields fell again early Thursday as investors digested Democrats’ midterm sweep of Congress and waited for jobs data. The 10-year note yielded 4.865%, down about 3 basis points, while the 2-year was flat at 4.581% and the 30-year fell 3 basis points to 5.245%, CNBC reported as of 4:11 a.m. ET Thursday. One basis point is 0.01%, and yields fall when bond prices rise.
The drop extends Wednesday’s move, when the 10-year ended the session 6 basis points lower after the election result. Oil prices have also fallen on expectations that escalation in the Iran war has become less likely, easing the inflation pressure that had pushed yields higher this year, CNBC reported.
Next up: weekly jobless claims at 8:30 a.m. ET Thursday and the October jobs report Friday morning. Neither has been released yet.
For borrowers, sustained declines in the 10-year feed directly into mortgage and business-loan rates; the moves so far are small but set the direction lenders watch.
JBizNews Desk | New York
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