Bonds

2-year Treasury yield hits new 2008 high

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U.S. government debt yields rose on Wednesday, with short-term rates hitting multiyear highs as investors looked to equities amid largely positive earnings reports.

The two-year Treasury yield hit a fresh high of 2.431 percent, its highest level since Sept. 8, 2008 when the two-year yielded as high as 2.542 percent.

The yield on the benchmark 10-year Treasury note rose 5 basis points to 2.86 percent at 2:42 p.m. ET, while the yield on the 30-year Treasury bond was 4 basis points higher at 3.042 percent. Bond yields move inversely to prices.

Treasurys

On Wednesday, it's was about news coming from the U.S. central bank for bond investors.

"Robust" business borrowing and a competitive labor market indicate the U.S. economy remains healthy and poised for continued growth, the Federal Reserve reported Wednesday, with the risks of a global trade war the one big outlier.

The Fed said in its periodic "Beige Book" that the overall outlook among businesses "remained positive," though many were concerned that the Trump administration's tariff plans could impact profits.

"Contacts in various sectors including manufacturing, agriculture, and transportation expressed concern about the newly imposed and/or proposed tariffs," the central bank said in its report, which covered the period from March to early April.

CNBC's Gina Francolla contributed to this report.