The auction drew lower-than-expected yields, signaling strong demand amid Fed policy uncertainty and labor market resilience.
The US Treasury auctioned $9 billion of 30-year Treasury Inflation-Protected Securities at a yield of 2.973%, below the 2.991% when-issued rate. The result suggests solid investor appetite for long-dated inflation-linked debt as markets assess Federal Reserve policy signals.
US initial jobless claims fell to 206K for the week, beating expectations of 210K and revising the prior week’s figure to 212K. Continuing claims rose to 1799K, indicating unemployed workers may face longer job searches despite limited layoffs. The data underscores labor market stability amid mixed economic signals.
Manufacturing activity surged, with the Philadelphia Fed business index hitting 47.4, far exceeding the 25.0 forecast. The index reached a five-year high, though new orders and shipments softened slightly. Canada’s July PPI rose 0.6%, reversing expectations of a 0.5% decline, driven by energy price increases tied to geopolitical tensions.