U.S. government debt prices fell on Friday, sending yields higher, with investors monitoring an ongoing impeachment inquiry against President Donald Trump while looking ahead to a resumption of trade talks between the U.S. and China on October 10.
A whistleblower report released on Thursday alleged that President Trump not only abused his office in encouraging Ukrainian interference in the 2020 U.S. election, but that the White House tried to "lock down" evidence of his conduct.
The inquiry stemmed from revelations about a phone call in which the president pressured Ukrainian President Volodymyr Zelensky to investigate Democratic rival Joe Biden and his son, Hunter Biden.
Modest optimism over U.S.-China trade relations has been positively impacting yields as traders shift toward riskier assets.
On Thursday, China's top diplomat said Beijing was willing to buy more U.S. products and indicated that impending trade talks could produce a positive result if both sides "take more enthusiastic measures" and dial down the rhetoric in the ongoing dispute.
Personal income and spending data for August is set to be published at 9:30 a.m. ET, along with PCE price index figures and durable goods orders.