PrintTREASURIES-US yields pare drop after data
BY Reuters | ECONOMIC | 02/20/26 08:51 AM ESTNEW YORK, Feb 20 (Reuters) - U.S. Treasury yields pared their earlier drop on Friday but ?remained lower on the ?day after data showed that inflation was higher ?than economists' forecasts in December, while ?gross domestic product for ?the fourth ?quarter was well below expectations. Both the headline ?and core Personal ?Consumption Expenditure index rose 0.4% in December on a monthly ?basis, above economists' ?estimates for ?a 0.3% rise on each. Separately, gross domestic product increased at ?a 1.4% annualized rate last quarter. ?Economists polled by Reuters had forecast GDP rising at a 3.0% pace.
The 2-year note yield, ?which ?typically moves in step with ?Fed interest rate expectations, was ?last down 0.4 basis points to 3.466%. The yield on benchmark U.S. 10-year notes fell 1.3 basis points to 4.062%.
The yield curve between 2- ?and 10-year notes flattened by around a basis point to 59 basis ?points, the flattest ?since January 16. (Reporting by ?Karen Brettell)
