U.S. Treasury yields slid further on Thursday as investors digested comments from Federal Reserve Chairman Jerome Powell, who suggested a September rate cut was on the table.
The 10-year Treasury was down by more than 2 basis points at 4.05%. The 2-year Treasury yield fell by over 5 basis points to 4.278%.
Yields and prices move in opposite directions. One basis point equals 0.01%.
Yields had fallen on Wednesday after Fed Chairman Powell hinted at a September rate cut after the central bank’s July meeting concluded.
“The broad sense of the committee is that the economy is moving closer to the point at which it would be appropriate to reduce our policy rate,” he said in a press conference after the Fed meeting.
Powell said the Fed would weigh economic data, expectations and risks alongside inflation and labor market signals, and respond accordingly. Depending on these factors, “a reduction in our policy rate could be on the table as soon…
