Treasury Yields Fall, Prices Climb as Investors Seek Shelter From Stock Sell-Off

Source: NYSE

Treasury yields fell Thursday, pushing prices higher, as investors continued to seek shelter in bonds after a steep sell-off in equities.

The yield on the benchmark 10-year Treasury note fell 3 basis points to 2.851% at 4:11 p.m. ET. The yield on the 30-year Treasury bond moved 2 basis points lower to 3.05%. Yields move inversely to prices, and 1 basis point is equal to 0.01%.

The move in bonds comes as the S&P 500 came under pressure in another downbeat session on Wall Street, falling 0.6%. The Dow Jones Industrial Average fell 237 points, or 0.8%. The Nasdaq also fell 0.3%.

Traders also bolstered their bond holdings Wednesday, as the Dow experienced its worst one-day drop since 2020. Earnings updates from big-box retailers showed rising inflation was dragging on corporate profits.

Julian Howard, head of multi-asset solutions at GAM, told CNBC's "Squawk Box Europe" that he believed hiking interest rates by central banks was not going to fix the "inflation problem anytime soon."

"And I think we're starting to see evidence in U.S. earnings in what's been reported amongst retail stocks, that actually ramping up rates is starting to affect consumer demand," he explained.

U.S. weekly jobless claims came in at 218,000 in the week ending May 14, an increase of 21,000 claims from the previous week, according to the Labor Department on Thursday.

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