Following the significant turnaround seen over the course of the previous session, treasuries turned in a relatively lackluster performance during trading on Tuesday.
Bond prices fluctuated as the day progressed, eventually ending the session little changed. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, crept up by less than a basis point at 4.840 percent.
The choppy trading on the day came as traders seemed reluctant to make significant moves amid a lack of major U.S. economic data.
On Friday, the Commerce Department is due to release its report on personal income and spending, which includes readings on inflation said to be preferred by the Federal Reserve.
Traders are also likely to keep an eye on reports on durable goods orders, pending home sales and initial jobless claims in the coming days.
Treasuries remained little changed after the Treasury Department revealed this month’s auction of $51 billion worth of two-year notes attracted below average demand.
The two-year note auction drew a high yield of 5.055 percent and a bid-to-cover ratio of 2.64, while the ten previous two-year note auctions had an average bid-to-cover ratio of 2.76.
The bid-to-cover ratio is a measure of demand that indicates the amount of bids for each dollar worth of securities being sold.
A report on new home sales in the month of September may attract some attention on Wednesday, although trading activity may remain subdued.