U.S. Treasuries jump ahead of initial jobless claims, 7-year auction

The U.S. Treasuries jumped during Thursday’s afternoon session, ahead of the country’s weekly initial jobless claims, scheduled to be released today by 12:30GMT and the 7-year auction, also due today at 17:00GMT.

The yield on the benchmark 10-year Treasury yield slumped nearly 2 basis points to 2.032 percent, the super-long 30-year bond yields suffered nearly 1-1/2 basis points to 2.565 percent and the yield on the short-term 2-year too traded nearly 2 basis points lower at 1.808 percent by 11:35GMT.

Ahead of tomorrow’s Q2 GDP estimate, the focus today will be on the advance goods trade and durable goods orders data for June. While the value of exports and imports are expected to be weaker that month following the surge in May, a large drop in exports in Q2 will likely suggest that net trade was a drag on GDP growth last quarter, Daiwa Capital Markets reported.

And while manufacturing orders are likely to be stronger in June, this follows considerable weakness in the previous two months. This afternoon will also bring the Kansas Fed manufacturing activity index for July and the latest weekly jobless claims figures, the report added.

Meanwhile, the S&P 500 Futures remained tad -0.14 percent lower at 2,980.88 by 11:40GMT.