U.S. Treasury yields dip as markets weigh midterm results and upcoming jobs data
Treasury yields fell across the curve on Thursday following the midterm elections, while investors await weekly jobless claims and the October payroll report.
U.S. Treasury yields slipped on Thursday, reflecting market reactions to the recent midterm elections and anticipation of upcoming employment data. At 4:11 a.m. ET, the benchmark 10-year Treasury yield was about 4.865%, roughly three basis points lower, while the 2-year note held steady at 4.581% and the 30-year yield dropped to 5.245%.
The decline follows the Democrats' gain of control of Congress, prompting analysts to reassess policy directions for President Donald Trump's term. Oil prices fell on expectations that the risk of an Iran-related conflict has lessened, easing pressure on global government bonds that had risen earlier in the year amid Middle-East supply concerns.
Traders are also focused on the weekly jobless claims report scheduled for 8:30 a.m. ET and the October nonfarm payrolls data due on Friday, which could further influence yield movements.
"The blue wave has raised questions around policy for the remainder of President Donald Trump's term," a market commentator noted.