The decline in Treasury yields also came amid a broader move away from riskier assets in stock markets. US Treasury yields fell on Thursday as investors kept a close watch on rising tensions in the Middle East and waited for fresh US jobless claims data due later in the day.
The 10-year US Treasury yield dropped by more than 7 basis points to 5.0732%. The 10-year Treasury yield is an important benchmark for borrowing costs in the US, including mortgage rates, auto loans and credit card debt, according to CNBC. The 2-year US Treasury yield also moved lower. It fell by more than 5 basis points to 4.7654%. The one-month Treasury yield stood at 3.98%, down 0.003 percentage points. The three-month yield fell to 4.156%, down 0.013 percentage points, while the six-month yield declined to 4.34%, down 0.027 percentage points. The one-year Treasury yield dropped to 4.458%, down 0.041 percentage points, according to the market data provided by CNBC.
This yield is closely linked to investor expectations for short-term interest rate decisions by the Federal Reserve, the US central bank. Yields on shorter-term Treasury securities also fell.
Investors are waiting for US initial jobless claims data. The report will show how many people filed for unemployment benefits for the first time, giving investors another indication of the health of the US labour market. The US Labor Department is scheduled to release the figures later on Thursday.
