Following the news, the yield on the benchmark 10-year Treasury note sank to 1.8478 percent, while the two-year note yield traded as low as 0.8487 percent. The yield on the 30-year Treasury bond was about flat near 2.6196 percent. Bond yields move inversely to prices.
Bonds have been in the spotlight in the last day, with global bond yields having risen at a rapid rate on Thursday.
One key factor that triggered the sharp moves in the bond markets was the better-than-expected third quarter GDP out of the U.K., however a broader view on what central bankers – including the Fed and the Bank of England – could do in future months also weighed on the markets.
While earnings have dominated sentiment on Wall Street this week, investors in both the bond and stock markets are now expected to shift their focus to the Federal Reserve.
As questions surface over when the U.S. central bank will raise interest rates, investors will be paying close attention for remarks out of the Federal Open Market Committee meeting, set to take place next Tuesday and Wednesday.
Ahead of that meeting, data results are expected to be of key importance, with investors digesting the initial reading of U.S.' third-quarter GDP data, which came in better than expected at a 2.9 percent rate, According to a Reuters' survey of economists, the consensus forecast for GDP is expected to have increased at a 2.5 percent annual rate.
TheIndex of Consumer Sentiment hit 87.2 in October, according to the University of Michigan on Friday, the lowest level since October 2014. Economist expected the consumer sentiment index to hit 88.2 in October, down from 91.2 in September final reading, according to Thomson Reuters consensus estimates.
Meanwhile in oil, prices came under pressure on Friday and were on track for a weekly loss, over doubts whether OPEC members will agree to cut production; Reuters reported.
No auctions are expected to be held by the U.S. Treasury on Friday.
— CNBC's Berkeley Lovelace contributed to this report.