US Treasuries rose on Thursday as investors digested mixed messages over the status of negotiations between the US and Iran.
The benchmark 10-year Treasury yield rose more than 4 basis points to 4.3679%. The 30-year Treasury yield rose more than 2 basis points to 4.926%. The two-year Treasury yield rose more than 5 basis points to 3.937%.
One basis point equals 0.01%, and yields and prices move in opposite directions.
Global markets are struggling to decipher conflicting statements from Washington and the Iranian government over the past 48 hours on the status of peace talks. The United States says negotiations are underway on a peace plan, but Iran denies direct communication with the United States on the issue.
Iranian Foreign Minister Abbas Aragushi told state media on Wednesday that authorities were considering US proposals to end the war, but reportedly said Iran had no intention of holding talks with the US.
He added that the exchange of messages between the two countries through an intermediary “does not imply negotiations with the United States,” according to Reuters.
Iranian state media reported on Wednesday that the Islamic Republic would reject the US ceasefire offer and instead respond with a five-point list that would give Iran sea control of the Strait of Hormuz.
Yields rose further after a second disappointing Treasury auction this week in the bond market. Wednesday’s $70 billion five-year bond auction followed Tuesday’s $69 billion two-year bond auction, marking the lowest demand since March 2025.
After a slow week in U.S. economic data, traders will focus on the weekly number of new jobless claims Thursday afternoon.
—CNBC’s Holly Ellyatt and Sean Conlon also contributed to this report.
