Key 10-year Treasury yield hits highest level in nearly a year as retail sales beat estimates
The benchmark Treasury yield rose again on Wednesday as U.S. retail sales easily topped expectations, adding to fears of potential inflation during the post-Covid economic recovery.
The yield on the 10-year Treasury note rose to 1.316 at roughly 8:35 a.m. ET, while the yield on the 30-year Treasury bond slipped to 2.073%. Yields move inversely to prices.
Data for retail sales in the U.S. in January showed a 5.3% jump. Economists expected retail sales rose by 1.2% after a surprise 0.7% decline in December, according to Dow Jones.
Producer price data for January also came in higher than expected.
Industrial production data from January is then due out at 9:15 a.m. ET, followed by December data for business inventories at 10 a.m. ET.
February data from the National Association of Home Builders housing market index is also expected at 10 a.m. ET.
Minutes from the last meeting of the U.S. central bank’s Federal Open Market Committee are due to be published at 2 p.m. ET.
An auction will be held Wednesday for $27 billion worth of 20-year bonds.
— CNBC’s Patti Domm contributed to this report.
