The US Treasury’s 10-year yield continued its rise above the 1% mark on Thursday morning, after a projected Senate two-seat Democratic victory in Georgia’s run-off elections.
The yield on the 10-year reference Treasury bill rose to 1.063% at 3:40 am ET, while the yield on 30-year Treasury bills jumped to 1.847%. Yields move inversely to prices.
Treasury yields increased earnings from the previous session, with Congress confirming the election of Joe Biden as president on Thursday morning.
This comes a day after dramatic scenes of protesters supporting President Donald Trump breaking into the Capitol building on Wednesday.
This was after Trump, during a rally earlier in the day outside the White House, encouraged thousands of his supporters to march to the Capitol to protest Joe Biden’s confirmation as the next president. The counting of electoral votes ended up being resumed.
Before the Capitol invasion, NBC News projected Democrat Jon Ossoff defeated Republican David Perdue in one of the contests for the Georgia Senate.
This followed the projection of Democrat Raphael Warnock’s defeat of Republican Senator Kelly Loeffler for the other seat in the Georgia Senate.
These projected victories give Democrats a small majority in the Senate, with a 50-50 seat split and Vice President-elect Kamala Harris as the tiebreaker. This means that Democrats will have unified control of Congress and the White House when Biden takes office.
In the meantime, the minutes of the most recent meeting of the US Federal Reserve, released on Wednesday, showed that the central bank will give the public plenty of notice before reducing its bond-buying program.
On Thursday, November’s trade balance data, showing the difference between the value of US exports and imports, are expected at 8:30 am ET. Unemployment insurance claims are also due at this time.
December’s ISM non-manufacturing numbers will be released at 10 am ET.
Patrick Harker, president of the Federal Reserve Bank of Philadelphia, will deliver a speech at 9:00 am Eastern time. St. Louis Fed President James Bullard is due to speak at 12 noon, followed by Chicago Fed chairman Charles Evans at 1 pm Eastern time.
The auctions will be held on Thursday for $ 30 billion in 4-week accounts and $ 35 billion in 8-week accounts.
– Amanda Macias and Dan Mangan of CNBC contributed to this report.