U.S. Treasury yields edged lower on Friday as investors reacted to stronger-than-anticipated inflation data and comments from Federal Reserve Chairman Kevin Warsh. The 10-year Treasury yield dropped 1 basis point to 5.074%, while the 30-year Treasury bond yield remained nearly unchanged at 5.422%. The 2-year Treasury note yield also fell 1 basis point to 4.731%.
The decline in yields came as investors digested the latest inflation figures, which exceeded expectations. Chairman Warsh's remarks on interest rates added to the market's cautious sentiment. The data and comments suggest ongoing uncertainty about the direction of monetary policy.
Traders on the floor of the New York Stock Exchange were closely monitoring these developments, as shifts in Treasury yields often signal changes in broader economic expectations. The market's reaction highlights the sensitivity to inflation trends and central bank guidance.