US Treasury yields rose slightly on Wednesday as investors awaited the rollout of President Donald Trump’s new tariff measures and upcoming economic data releases, CNBC reports.
As of 5:02 a.m. ET, the yield on the benchmark 10-year Treasury note had climbed over 2 basis points to 4.176%, while the 2-year Treasury yield also increased by more than 2 basis points to 3.883%. Yields move inversely to prices, meaning bond prices declined as investors adjusted their portfolios in anticipation of new trade policies.
Markets are closely watching the implementation of Trump’s reciprocal tariff plan, set to take effect Wednesday. According to multiple sources, the administration is considering imposing tariffs of around 20% on most imported goods, a move that could have widespread implications for global trade and economic growth.
Treasury Secretary Scott Bessent told lawmakers Tuesday that the tariffs would be set at their highest levels upon implementation, serving as a “cap” rather than a starting point for further increases. The White House confirmed that the duties would be “effective immediately.”
Investors are monitoring how these trade measures could influence inflation, supply chains, and Federal Reserve policy in the coming months. Higher tariffs could lead to increased costs for businesses and consumers, potentially affecting monetary policy decisions.
Beyond trade developments, markets are awaiting fresh economic data this week. The ADP employment report, due at 7:15 a.m. ET, is expected to show that private companies added 120,000 jobs in March, up from 77,000 in February, according to a Dow Jones survey.
Later in the week, investors will analyze the ISM Services PMI and weekly jobless claims on Thursday, followed by the highly anticipated nonfarm payrolls report on Friday. These indicators will provide further insights into the strength of the US labor market and broader economic conditions.
