U.S. Treasury yields were little changed on Thursday morning as investors monitored the latest trade developments with President Donald Trump’s “reciprocal” tariffs coming into effect.
At 5:45 a.m. ET, the 10-year yield was unchanged at 4.232%, and the 30-year Treasury bond yield remained at 4.811%. The 2-year Treasury yield was up less than a basis point to 3.7%.
One basis point equals 0.01% and yields and prices move in opposite directions.
Investors are watching as Trump’s so-called “reciprocal” tariffs against dozens of trade partners went into effect on Thursday.
“IT’S MIDNIGHT!!! BILLIONS OF DOLLARS IN TARIFFS ARE NOW FLOWING INTO THE UNITED STATES OF AMERICA!” Trump wrote on social media platform Truth Social.
In an earlier post, Trump said the tariffs were targeting “COUNTRIES THAT HAVE TAKEN ADVANTAGE OF THE UNITED STATES FOR MANY YEARS.”
Trump recently rejigged the tariff rates ahead of the deadline, imposing steep duties from 41% on Syria to 50% on Brazil and India.
Meanwhile, after Federal Reserve Governor Adriana Kugler resigned last week, Trump told CNBC on Tuesday that he has four candidates in mind as replacements. The president has made it clear that he will only appoint governors in favor of cutting rates.
Two of the finalists include former Governor Kevin Warsh, National Economic Council director Kevin Hassett, and two unnamed candidates.
It’s quiet on the economic data front, but investors will await weekly jobless claims data on Thursday.