Treasury yield rose on Thursday even after another huge sell-off on Wall Street induced by the coronavirus pandemic.
The yield on the benchmark 10-year Treasury note, which moves inversely to price, turned higher in afternoon trading, climbing three basis points to 0.86%. The yield on the 30-year Treasury bond was also higher at 1.45%.
The S&P 500 joined the Dow Jones Industrial Average in bear market territory, marking the end of an expansion that began in 2009. A bear market marks a 20% decline from all-time highs.
Fears over the economic fallout from the outbreak and uncertainty surrounding Washington's fiscal response continued to drive investors towards the perceived safety of government bonds amid the stock market rout.
President Donald Trump late on Wednesday announced the suspension of all travel from Europe for 30 days and met with the CEOs of the nation's biggest banks to discuss economic responses, after the World Health Organization (WHO) officially declared the virus a pandemic.
The European Central Bank kept interest rates unchanged in its policy decision Thursday, despite market expectations for a reduction amid the coronavirus outbreak. The central bank did announce measures to support bank lending, and expanded its quantitative easing program by 120 billion euros ($135.28 billion).
Auctions will be held Thursday for $50 billion of 4-week Treasury bills, $40 billion of 8-week bills and $16 billion of 30-year Treasury bonds.