U.S. government debt yields rose on Wednesday as stability in equities ahead of the Thanksgiving holiday curbed a pivot into the relative safety of the government debt market.
The uptick in Treasury rates comes after a second consecutive session of sharp losses on Wall Street, with energy shares dropping with oil prices and retailers tumbling after weaker-than-expected earnings and forecasts.
The recent bout of global selling has helped spur so-called safe-haven assets like the U.S. dollar and government bonds pull away from recent lows. The greenback was little changed at 96.59 against a basket of major currencies Wednesday morning, after rallying 0.7 percent overnight. The dollar has recovered slightly from a recent trough of 96.042.
The number of Americans filing for jobless benefits rose to more than a four-month high last week, though the underlying trend continued to show a tight labor market. Initial claims for state unemployment benefits increased 3,000 to a seasonally adjusted 224,000 for the week ended Nov. 17, the highest level since the end of June, the Labor Department said on Wednesday.
Meanwhile, order to U.S. factories for big-ticket manufactured goods fell by the largest amount in 15 months. The Commerce Department said Wednesday that orders for durable goods dropped 4.4 percent last month, the third decline in the past fourth months.
— CNBC's Sam Meredith contributed reporting.