Treasury yields advantage lesser ahead of the U.S. customer anticipations report

September 13, 2022: -On Monday, Bond yields were down as markets awaited data on consumer inflation expectations.

The benchmark 10-year Treasury note yield was three basis points lower, trading at 3.29% at about 7 a.m. ET. The yield on the 30-year Treasury bond was down about two basis points at 3.439%.

The yield on the 2-year Treasury traded three basis points lower at 3.536%. Yields move inversely to prices, with a basis point around 0.01%.

Markets will be looking to the New York Fed’s Survey of Consumer Expectations, which outlines what customers desire overall inflation and prices for food, housing, gas, and education. It also offers a view of earnings growth and employment prospects.

On Friday, as markets saw gains, with the S&P 500 rising to surpass where it closed on the day Federal Reserve Chair Jerome Powell warned of more pain during the Fed’s Jackson Hole meeting, fears of aggressive rate hikes reduced among some investors.

But while U.S. consumption remains healthy, growth is weak, and economic slowdown globally still has many nervous about a recession.

Recent evidence shows the pace of inflation is receding, but consumers are still working; according to the personal finance website WalletHub, almost a third of Americans are struggling to pay their energy bills.

On the bond auction front, an auction for the 3-year, 10-year, 3-month, and 6-month bills is due Monday.