U.S. Treasury bond yields were slightly lower on Friday morning as market participants await the long-awaited release of monthly inflation data.
The yield on the 10-year benchmark Treasury bond fell by about 1 basis point to 3.031%, while the yield on the 30-year Treasury bond fell by almost 2 basis points to 3.153%. Yields move inversely to prices, and a base point equals 0.01%.
U.S. consumer price index data for May is expected to be released around 8:30 a.m. ET, with investors waiting to see how the reading could shape the rising price strategy. Federal Reserve rates and whether decade-high inflation peaked in March.
The CPI, a broad measure of the prices of goods and services, rose to 8.3% in April, reflecting a modest decline from the high of 8.5% in March, but still close to the highest level. since the summer of 1982.
The Fed began raising rates in March and implemented a 50 basis point rise in May, its biggest in 22 years, with the minutes of the Federal Open Market Committee meeting pointing to more aggressive increases ahead. especially if the next reading of the CPI confirms high levels of inflation. .
No doubt the White House has acknowledged that it expects to see inflation rise later in the session.
June consumer sentiment data and May federal budget data are among some of the other data releases scheduled for Friday.