The U.S. Treasurys were unchanged on Wednesday as a result of the release key March inflation figures. These figures could have an impact on future Federal Reserve policy moves including its interest rate hike campaign.
At 5:17 a.m. ET
After rising by less that 1 basis point, the price of the stock was at 3.439%. The yield on the
At 4.054%, it was slightly lower.
Inverted relationships exist between yields and prices. One basis point equals 0.01%.
Investors analyzed key inflation data due Tuesday, including a consumer price index report for March as well as the core inflation rate. Dow Jones economists expect the CPI to rise by 0.2% monthly. This would be a slower increase than the 0.4% increase in February.
On Thursday, the producer price index will follow suit with fresh consumer inflation data.
Inflation figures will likely impact the Fed's May interest rate decision. After its last meeting, the central bank stated that "a
A rate rise pause could be in the future
If data shows enough signs that the economy has cooled,
Patrick Harker, Philadelphia Fed President, stated that he supports rates being raised slightly higher than they are now and will continue to be elevated for a while.
Wednesday's minutes from the Fed's March meeting could also be due. They could give new insight into the central bank’s policy expectations.