
The 10-year Treasury yield edged higher on Thursday as investors parsed President Donald Trump's speech at the World Economic Forum in Davos, Switzerland.
The 10-year Treasury yield rose around 5 basis points to 4.644%. The 2-year Treasury yield was nearly slipped marginally, sitting at 4.289%.
One basis point is equal to 0.01%, and yields and prices have an inverted relationship.
After Thursday's jobless claims were nearly in line with expectations, investors are looking ahead. They will also be looking to the release of the S&P Global Composite PMI Flash on Friday, which will offer insights into the growth of the manufacturing and services sectors. Existing home sales data for the month of December is also due out Friday.
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Investors are weighing Trump's keynote address at the WEF on Thursday. Trump said he would "demand that interest rates drop immediately."
Following his inauguration, Trump commented that he is considering a 25% tariff on Canada and Mexico from Feb. 1. He also said he is planning to implement a 10% tariff on China.
This comes ahead of the next Federal Open Market Committee meeting on Jan. 28-29, where decisions on interest rate cuts will be made. The Fed penciled in two rate cuts for 2025 at its December meeting, signaling a slow and cautious approach.
Money Report
Fed Governor Christopher Waller recently told CNBC that the central bank may lower interest rates multiple times this year if inflation eases as he is expecting.