Bonds

Yields fall after surprise BOJ move; 2-year below 0.8%

Traders in the 10-year bond options pit at the Chicago Board of Trade signal orders.
Frank Polich | Reuters

U.S. government debt prices traded higher on Friday after the Bank of Japan adopted a negative interest rate policy.

Yields held near earlier levels after fourth-quarter GDP growth came in at a 0.7 percent annual rate.

The 2-year yield fell below 0.8 percent to trade near 0.7816 percent. The 10-year yield was around 1.9382 percent.

The Bank of Japan was not expected to take significant action on monetary policy at its meeting this week.

Treasurys


The Chicago PMI showed 55.6 in January after coming in at 42.9 in December. Consumer sentiment came in at 92.0 for January, slightly below estimates.

In oil markets, Brent crude traded at around $34.68 a barrel on Friday, 0.79 percent higher, while U.S. crude was at around $33.79 a barrel, up 1.72 percent.

--CNBC's Patti Domm and Evelyn Cheng contributed to this report