U.S. Treasury yields fell Friday as recession fears and disappointing financial knowledge left traders searching for protection.
The yield at the benchmark 10-year Treasury notice traded decrease through 8 foundation issues at 2.889%, close to its lowest degree since overdue Would possibly. In the meantime, the yield at the 30-year Treasury bond slid lower than 1 foundation level to a few.116%.
The two-year Treasury price, which is generally extra delicate to U.S. financial coverage adjustments, was once down 8 foundation issues at 2.839%. Yields transfer inversely to costs.
Yields prolonged losses after the ISM production index got here in at 53, somewhat underneath a Dow Jones estimate of 54.3.
That knowledge set got here in an afternoon after the federal government reported that the core non-public intake expenditures value index, the Fed’s most well-liked inflation measure, rose 4.7% in Would possibly. That is 0.2 proportion issues lower than the month earlier than, however nonetheless round ranges closing noticed within the Nineteen Eighties. The index was once anticipated to turn a year-over-year build up of four.8% for Would possibly, in step with Dow Jones.
Stubbornly prime inflation ranges and the Federal Reserve’s efforts to take on a surge in costs have ended in escalating recession worries. In addition they ended in a gloomy efficiency for shares within the first 1/2 of the yr.
The S&P 500 on Thursday closed out its worst first 1/2 in many years. The wider marketplace index dropped 20.6% for its greatest first-half decline since 1970.
— CNBC’s Fred Imbert contributed to this document.