Treasuries Move Moderately Lower Ahead Of Tomorrow's Data

(RTTNews) - After trending higher over the past few sessions, treasuries moved moderately lower over the course of the trading day on Wednesday.

Bond prices came under pressure in early trading and remained stuck in the red throughout the session. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, rose by 3.5 basis points to 2.86 percent.

With the increase on the day, the ten-year yield regained some ground after ending Tuesday's trading at its lowest closing level in a month.

The pullback by treasuries came as traders cashed in on some of the recent strength in the bond markets amid continued concerns about the outlook for monetary policy.

Traders may also have been looking to move some money out of bonds ahead of the release of some key economic data on Thursday.

Following two relatively quiet days on the economic front, tomorrow will see the release of reports on weekly jobless claims, existing home sales, and leading economic indicators.

If the reports provide indications of further strength in the economy, it could stir fears of a faster pace of tapering by the Federal Reserve.

The Treasury Department is also due to announce the details of next week's auctions of two-year, five-year, and ten-year notes.