Treasury yields were higher Friday after Federal Reserve Chair Jerome Powell delivered a speech on the central bank's tightening path.
The 10-year Treasury yield traded at 3.032%, up less than 1 basis point. The 2-year rate rose less than 1 basis point to 3.382%.
Treasurys
"While higher interest rates, slower growth, and softer labor market conditions will bring down inflation, they will also bring some pain to households and businesses," Powell said in prepared remarks at the annual Jackson Hole, Wyoming symposium. "These are the unfortunate costs of reducing inflation. But a failure to restore price stability would mean far greater pain."
"We are moving our policy stance purposefully to a level that will be sufficiently restrictive to return inflation to 2%," he said.
Wells Fargo's Michael Schumacher said, "I think people are just reassessing. It was fine. It was hawkish enough, but it wasn't over the top. There was expectation for a very hawkish speech so it's hard to measure up to that."
Powell's remarks come after the Bureau of Economic Analysis reported Friday that the personal consumption expenditures price index — the Fed's preferred inflation gauge — rose 6.3% last month on a year-over-year basis. That's down from a gain of 6.8% in June.
— CNBC's Patti Domm contributed to this report.