U.S. Treasury yields rose modestly on Wednesday after the release of economic data. The 10-year Treasury yield was up to 2.53%, while the 2-year Treasury yield climbed to 2.30%.

The moves came after the release of the April ADP employment report, which showed that private sector payrolls increased by 275,000, well above expectations. This suggested a strong labor market.

Investors are also awaiting the Federal Reserve’s policy decision later today, where the central bank is expected to hold interest rates steady.

Here are some key factors influencing Treasury yields:

• Economic Data: Strong economic data tends to push yields higher, while weak data can lead to lower yields.
• Federal Reserve Policy: The Fed’s interest rate decisions have a significant impact on Treasury yields.
• Inflation Expectations: Rising inflation expectations can also drive yields higher.

Market participants will continue to monitor economic data and Fed policy for further clues about the direction of Treasury yields.