U.S. Treasuries virtually unchanged ahead of FOMC

Following a short-breathed rise after the PPI data from the United States, the U.S. Treasury bond yields failed to gain traction and eased back to their opening levels as investors remain cautious ahead of tomorrow's FOMC meeting. 

After hitting its highest level in nearly a month at 1.511%, three-year yields are now at 1.505%, still up 0.22% on the day.  Two-year yields inched higher to a fresh monthly top at 1.367% as well before coming back to 1.363%. The ten-year and thirty-year references are flat at 2.213% and 2.87% respectively.

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• Fed: 25bps hike is almost fully discounted – RBC CM