U.S. Treasury Yields and Dollar Slip After Mixed U.S. Data

U.S. Treasury yields and the U.S. dollar fell after U.S. economic data sent mixed signals and oil prices dropped below pre-war levels. According to Jin10, May PCE inflation matched the average expectation, with the year-on-year increase accelerating to 4.1% from 3.8%. The report said falling energy costs were expected to cool future inflation. May durable goods orders fell 4.5%, compared with an average expectation for a 4% decline. Separately, real GDP growth in the first quarter was revised up to a 2.1% annualized quarterly rate from 1.6%, versus an expectation of 1.7%. Initial jobless claims earlier this week fell to 215,000, compared with an average expectation of 223,000. The 10-year U.S. Treasury yield slipped to 4.371% from 4.414% earlier, while the 2-year yield fell to 4.107% from 4.162%.