U.S. Treasury yields were slightly lower early Tuesday, reversing course after the 10-year hit it highest level in more than two months during the previous session.
The 10-year Treasury yield was down by over two basis points at 3.998%, while the yield on the 2-year Treasury was 5 basis points lower at 3.949%.
Yields move inversely to prices. One basis point equals 0.01%.
The 10-year jumped above 4% on Monday amid stronger labor market readings and despite the start of a Federal Reserve rate-cutting campaign last month.
The 10-year yield was up more than 4 basis points to 4.024%, its highest since early August and a big turnaround from its 2024 low of around 3.58%, reached a little more than a month ago. The yield on the 2-year Treasury was up nearly 6 basis points to 3.989%.
On Tuesday, investors are looking ahead for more indication on the path for interest rates, with fresh comments due from policymaker Adriana Kugler.