Treasury yields fall ahead of Fed Chair Powell's second congressional testimony

• Federal Reserve Chairman Jerome Powell is due to speak to the House Committee on Financial Services at 10 a.m. ET on Wednesday.
• Fed Vice Chairman Richard Clarida is also set to speak about the central bank's economic outlook for the U.S. and its monetary policy, at the U.S. Chamber of Commerce Chief Economist Committee meeting at 1 p.m. ET.

U.S. Treasury yields fell on Wednesday morning, ahead of Federal Reserve Chairman Jerome Powell's second speech on the economy later that day.

The yield on the benchmark 10-year Treasury note slipped to 1.254% at 3:30 a.m. ET, while the yield on the 30-year Treasury bond fell to 2.196%. Yields move inversely to prices.

Treasurys

Treasury yields dipped early on Wednesday, as investors continued to digest comments from Powell's first speech in the Senate on Tuesday.

"The economy is a long way from our employment and inflation goals, and it is likely to take some time for substantial further progress to be achieved," he said on Tuesday.

Powell is due to speak to the House Committee on Financial Services at 10 a.m. ET on Wednesday.

Fed Vice Chairman Richard Clarida is also set to speak about the central bank's economic outlook for the U.S. and its monetary policy, at the U.S. Chamber of Commerce Chief Economist Committee meeting at 1 p.m. ET.

Clarida is then scheduled to speak again on the U.S. economy and its monetary policy, to the American Chamber of Commerce in Australia at 4 p.m. ET.

In addition, January data on new home sales made in the U.S. is expected out at 10 a.m. ET.

Auctions will be held Wednesday for $30 billion of 119-day bills, $61 billion of 5-year notes and $26 billion of 1-year 11-month floating-rate notes.

— CNBC's Jeff Cox contributed to this report.

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