U.S. sovereign bond prices wavered Wednesday after investors digested a slew of economic data points.
Benchmark 10-year Treasury note yields dipped to 1.775 percent, while 30-year bond yields slid to 2.631 percent.
The yield moves came after reports the service sector grew at a faster pace in April. The Institute for Supply Management (ISM) said Wednesday its index of non-manufacturing activity rose to 55.7 from 54.5 the month before. New orders for U.S. factory goods rose more than expected in March, while shipments and inventories increased after eight straight months of declines, signs that the downturn in manufacturing was nearing an end.
Private business job creation decelerated in March as an economic slowdown and other factors put a dent in activity, according to the latest report from ADP.
Meanwhile, U.S. nonfarm productivity fell in the first quarter, the second quarterly decline, and labor-related costs rose at their fastest pace since 2014 as companies hired more workers to maintain output. Also, the U.S. trade deficit fell more than expected in March as imports of goods tumbled to their lowest level since 2010.
German Bunds — which are viewed as a "safe haven" asset akin to Treasurys — traded lower on Wednesday.
U.S. Treasurys
Traders are also concerned about what the weaker corporate earnings outlook may say about the global economy. On Wednesday, Royal Dutch Shell, one of the world's biggest energy companies, posted a sharp fall in quarterly earnings as the tumble in oil prices continued to take its toll.
WTI crude oil futures settled 13 cents higher at $43.78 per barrel on Wednesday. prices, meanwhile, fell 25 cents to about $44.72 a barrel.
U.S. crude stocks, which have been setting record highs since January, grew 2.8 million barrels last week, government data showed, about a million barrels more than analysts' expectations. Gasoline stocks also posted a surprise increase.
The U.S. dollar index rose slightly against a basket of major currencies on Wednesday, building on Tuesday's small recovery. This weighed marginally on the prices of commodities, which are largely denominated in U.S. dollars.
— CNBC's Fred Imbert and Reuters contributed to this report.