US Treasury yields little changed after spending, jobless claims data
The Commerce Department reports that consumer spending, which accounts for two-thirds of domestic economic activity, jumped 0.6 percent last month.
Prices continue their steady climb, with the personal consumption expenditures (PCE) price index excluding food and energy increasing 0.2 percent for the third consecutive month.
U.S. government debt yields held steady Thursday after U.S. consumer spending data increased more than expected and personal income data matched expectations.
The yield on the benchmark 10-year Treasury note was higher at around 2.857 percent at 8:37 a.m. ET, while the yield on the 30-year Treasury bond also ticked higher to 3.025 percent. Bond yields move inversely to prices.
U.S. consumer spending increased more than anticipated in the month of April, according to the Commerce Department, yet another sign of healthy economic growth in the second quarter. Personal consumption expenditures also continued to rise at a steady rate, matching expectations.
The Commerce Department said Thursday that consumer spending, which accounts for two-thirds of domestic economic activity, jumped 0.6 percent last month. The increase was the biggest gain in five months, topping expectations from economists polled by Reuters for a 0.4 percent increase.
The government said purchases of gasoline and other energy products spurred the rise.
Prices also continued their trek upward, with the personal consumption expenditures (PCE) price index excluding food and energy increasing 0.2 percent for the third consecutive month. The latest print brings the year-over-year increase in the so-called core PCE price index to 1.8 percent.
The core PCE index is the Federal Reserve's preferred inflation measure. The U.S. central bank has a 2 percent inflation target
St. Louis Fed President James Bullard is set to participate in a Market News International's Connect roundtable in Tokyo, Japan.
Fed Governor Lael Brainard will be in New York, taking part at a Forecaster's Club of New York luncheon, where she is expected to comment upon the outlook of monetary policy. And in Dallas, its Fed President Robert Kaplan will be delivering the 61st annual Southwestern Graduate School of Banking keynote.
Global markets have been jumpy over concerns surrounding the euro zone's third-largest economy, as Italy is thrown into the center of an ongoing power struggle.
Investors have been concerned about the possibility of early elections, and whether the country's involvement in the European Union and the euro currency will be called into question . However, news surrounding new efforts to form a government have helped reduce fears over the past day.
—CNBC's Sam Meredith contributed to this report
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