10-year Treasury yield inch higher after U.S. and China agree to trade truce
The 10-year yield on U.S. Treasurys inched higher on Wednesday as U.S. and Chinese officials reached an agreement on trade.
At 2.45 a.m. ET, the 10-year Treasury yield was up by 1 basis point at 4.49%. The 2-year yield added the same to arrive at 4.02%. The 30-year yield was also higher by a basis point to 4.95%.
One basis point equals 0.01%. Yields and prices move inversely in the bond market, meaning higher prices equal lower yields and vice versa.
U.S. Commerce Secretary Howard Lutnick said that he and U.S. Trade Representative Jamieson Greer would return to Washington to "make sure President Trump approves" of the framework agreed with their Chinese counterparts in London.
Investors will also be looking out for more insight into the U.S. economy on Wednesday morning as the Bureau of Labor Statistics rolls out May's reading of the consumer price index. Economists polled by Dow Jones call for a 0.2% month-over-month increase, while headline CPI is anticipated to have grown 2.4% from 12 months earlier. A hot report could spook investors who are already on edge over inflationary pressures.
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