U.S. Treasury yields slumped on Thursday morning, ahead of the release of fourth-quarter gross domestic product figures.
The yield on the benchmark 10-year Treasury note fell to 1% at 4 a.m. ET, while the yield on the 30-year Treasury bond declined to 1.757%. Yields move inversely to prices.
Treasury yields dropped on Thursday, with U.S. GDP data expected out at 8:30 a.m. ET that morning.
It’s expected to show that the U.S. economy grew at a 4.3% pace from the previous quarter on an annualized basis, according to Dow Jones.
The fall in yields also came after the Federal Reserve said Wednesday that it was keeping its benchmark interest rate anchored near zero.
Following the conclusion of its two-day meeting, the U.S. central bank also said it was maintaining its asset purchase program, which sees it buying at $120 billion of bonds a month.
“The economy is a long way from our monetary policy and inflation goals, and it’s likely to take some time for substantial further progress to be achieved,” Fed Chairman Jerome Powell said at his post-meeting news conference. Policy will remain “highly accommodative as the recovery progresses,” he added.
Traders will be keeping an eye out for weekly jobless claims data, which is expected to be released at 8:30 a.m. ET.
December figures for the U.S. goods trade balance are also due out at 8:30 a.m. ET, along with wholesale inventory figures for that month.
New home sales data for December is expected out at 10 a.m. ET.
Auctions will be held Thursday for $30 billion of 4-week bills, $35 billion of 8-week bills and $62 billion of 7-year notes.
— CNBC’s Patti Domm and Jeff Cox contributed to this article.
