Treasuries Regain Ground Following Yesterday's Sell-Off

(RTTNews) - Treasuries moved moderately higher over the course of the trading day on Wednesday, regaining ground following the sell-off seen in the previous session.

Bond prices advanced in morning trading and remained firmly positive throughout the afternoon. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, slid 4.9 basis points to 4.267 percent.

The ten-year yield partly offset the 14.4 basis point spike seen on Tuesday, when it reached its highest closing level in over two months.

The rebound by treasuries may partly have reflected bargain hunting after yesterday's nosedive, which was triggered by hotter-than-expected inflation data.

Trading activity remained somewhat subdued, however, with a lack of major U.S. economic data keeping some traders on the sidelines.

Traders may have been reluctant to make significant bets ahead of the release of an avalanche of data on Thursday.

The slew of data due to be released tomorrow includes reports on weekly jobless claims, retail sales, industrial production and import and export prices.

The plethora of U.S. economic reports due to be released Thursday could lead to early indecision, as the vast amount of data may provide a mixed view of the economy.