Treasuries Pare Weekly Advance as Yield Curves Steepen Globally

US Treasuries pared their weekly advance in a low-volume, holiday-shortened session Thursday, with long-maturity yields rising most amid a rise in oil prices that boosted inflation expectations.

The yield curve steepened notably, with the 30-year exceeding the five-year by nearly 90 basis points, aided by a large trade in Treasury futures. Curve-steepening in European bond markets after the European Central Bank’s rate decision, and US President Donald Trump’s broadside against Fed Chair Jerome Powell contributed as well.