Business & Finance
Treasury yields remain steady following July inflation data release
Yields held mostly flat as core personal consumption expenditure figures aligned with market expectations ahead of the Federal Reserve's Jackson Hole symposium.
The short version
- U.S. Treasury yields experienced minor movement on Wednesday following the release of July's personal consumption expenditure (PCE) inflation report.
- Headline PCE inflation rose 0.2% monthly and 3.7% annually, slightly above consensus forecasts, while core PCE matched expectations at 0.2% monthly and 3.3% annually.
- Investors are turning their attention to the Jackson Hole Economic Policy Symposium, where Federal Reserve Chairman Kevin Warsh is scheduled to speak on Friday.
Key facts
- The yield on the 10-year Treasury note rose over two basis points to 4.66%, while the 2-year note yield climbed two basis points to 4.224%.[CNBC]
- July's headline PCE inflation came in at 0.2% for the month and 3.7% year-over-year, both 0.1 percentage point higher than the Dow Jones consensus estimate.[CNBC]
- Core PCE inflation, which excludes food and energy prices, increased 0.2% monthly and 3.3% annually, matching economists' projections.[CNBC]
- Federal Reserve Chairman Kevin Warsh is scheduled to address the Jackson Hole Economic Policy Symposium on Friday.[CNBC]
What remains uncertain
- Reports indicate Iran and Oman are close to an agreement regarding safe passage through the Strait of Hormuz, but the final outcome remains unconfirmed.[CNBC]