U.S. Treasury yields rise on inflation data

On Friday, U.S. Treasury yields closed higher, marking a significant turn during a week that saw the 10-year Treasury yield surge following the release of new inflation data and remarks from Federal Reserve Chair Jerome Powell. Powell's comments indicated that the central bank might adopt a less aggressive approach to rate cuts in the upcoming year.

Rise in Treasury Yields

The 10-year Treasury yield rose by approximately three basis points to stand at 4.451%. For context, the yield had concluded the previous week at around 4.31%. In tandem, the yield on the 2-year Treasury experienced a nearly five basis points increase, reaching 4.341%, compared to last week's closing of approximately 4.25%. It is important to note that one basis point is equivalent to 0.01%, and movements in yields and prices exhibit an inverse relationship.