A trader works on the floor of the New York Stock Exchange.
NYSE
U.S. Treasury yields rose on Friday as investors monitored the economic outlook and geopolitical concerns.
The benchmark 10-year Treasury yield gained more than 6 basis points to 4.227%. The yield on the 2-year Treasury advanced 3 basis points to 3.594%. The 30-year Treasury yield was also more than 5 basis points higher at 4.836%.
One basis point is equal to 0.01%, and yields and prices move in opposite directions.
Investors have been concerned about geopolitical uncertainty through the week, with President Donald Trump insistent on taking ownership of Greenland — a self-governing Danish territory — saying it’s critical to U.S. national security. On Friday, the president floated imposing tariffs on countries “if they don’t go along with Greenland.”
A high-stakes meeting on Wednesday between the U.S., Denmark and Greenland over the Arctic island’s future ended without a diplomatic solution, but talks are expected to continue.
Meanwhile, U.S.-Iran tensions have eased after Trump signaled he was holding off on military strikes, citing reports that Iran had reduced its violent crackdown on protesters.
Also this week, a criminal investigation into Federal Reserve Chairman Jerome Powell has created worries about the Fed’s independence, and whether it might be politically influenced. Trump said Friday that he’d like to keep National Economic Council Director Kevin Hassett in his position, a statement that boosted prediction market bets of former Fed Governor Kevin Warsh becoming the next Fed chair.
It’s quiet on the economic data front, but investors are looking to the week ahead when the personal consumption expenditures index, the Fed’s preferred inflation gauge, will be released and offer fresh insights on the economy.
The bond market will be closed on Monday for Martin Luther King Day.