U.S. Treasury yields rose on Wednesday after the Federal Reserve released the minutes from its latest policy meeting, showing discussion by the central bank of possible tapering this year and that the economy had reached its goal on inflation.
The yield on the benchmark 10-year Treasury note rose more than 2 basis points to 1.285% at 2:20 p.m. ET. The yield on the 30-year Treasury bond added almost 1 basis point, rising to 1.93%. Yields move inversely to prices and one basis point is 0.01%.
Participants of the Federal Open Market Committee gathering in late July determined “it could be appropriate to start reducing the pace of asset purchases this year,” due to “substantial further progress” on price stability and employment goals, according to the minutes of that meeting, released Wednesday afternoon.
Housing starts fell 7% in July to a seasonally adjusted annual rate of 1.534 million units, the Commerce Department said Wednesday. Economists expected the rate to fall to 1.6 million units.
Auctions were held on Wednesday for $30 billion of 119-day bills and $27 billion of 20-year bonds.
