U.S. government debt yields rose on Thursday after economic data showed the number of Americans filing for unemployment benefits was unchanged and the Chicago PMI beat expectations.
The yield on the benchmark 10-year Treasury note was higher at around 2.431 percent at 1:16 p.m. ET, while the yield on the 30-year Treasury bond was up at 2.761 percent. Bond yields move inversely to prices.
This week, trade is expected to be lighter across global markets as investors await the start of a new year.
In economic news, the Department of Labor reported Thursday that the number of Americans applying for state unemployment benefits held steady last week. Workers filed 245,000 initial claims for the week that ended Dec. 23, hinting at a tight labor market.
Meanwhile, the Chicago PMI for December rose to 67.6, the highest level since March 2011, according to Reuters.
Looking to the auctions space, the U.S. Treasury auctioned $28 billion in 7-year notes at a high yield of 2.37 percent. The bid-to-cover ratio, an indicator of demand, was 2.55. Indirect bidders, which include major central banks, were awarded 60.5 percent. Direct bidders, which include domestic money managers, were awarded 13.1 percent.
Commodities continue to be on investors' minds, after crude futures hit a more than two-year high earlier on this week. Oil prices posted minor gains on Thursday, on the back of strong data out of China.
Meantime, market-watchers will be paying close attention as to what the New Year brings. As markets — for the most part — continue to ride the Santa Clause rally, investors will be wondering whether this trend will persist in 2018.
After President Donald Trump signed a $1.5 trillion tax bill into law last Friday, which aims to cut tax rates for both individuals and companies, it will be of key importance as to whether more economic news will boost markets.