Softer-than-expected inflation in May drives up demand for U.S. government debt, lowering Treasury yields. The impact of tariffs on consumer prices remains unclear, as annual CPI ticks up to 2.4% from 2.

Traders and investors moved in and purchased Treasuries across the yield curve in response to the latest Consumer Price Index report. Learn more here.

A rally in U.S. government debt sent long-dated Treasury yields to their lowest closing levels since early May on Thursday, after the producer-price index fo

Treasury yields extend their decline as inflation and labor data fuel predictions of a Fed pivot. Jobless claims are trending higher while price increases are slower than forecast. Meanwhile, a 30-year Treasury auction shows robust demand.

U.S. Treasury yields are set to decline further according to bond strategists who are clinging to expectations the Federal Reserve resumes cutting interest rates after pausing for more than half a year even as dealers are set to underwrite a deluge of new supply.

Treasury yields were declining Thursday morning as investors weighed fresh data on wholesale inflation that was softer than expected. The yield on the 10-year Treasury note was falling about 6 basis points to around 4.

Currently, gold is trading near the upper half of the channel. It has pulled back slightly after hitting resistance around the $3,400 level. The top of the channel lies near the $3,500 mark, which represents the next significant level of resistance.

Mortgage rates edged down on Thursday, closely mirroring the downward path of 10-year Treasury yields driven by weaker than expected private-sector hiring numbers.