As investors awaited the highly anticipated inflation data, which may have an impact on the rate at which the Federal Reserve raises interest rates, longer-term U.S. Treasury yields moved marginally higher on Wednesday.

The yield on the standard 10-year Treasury note increased by less than a basis point to 2.7992%, and the yield on the 30-year Treasury bond increased by less than a basis point to 3.0098%. A basis point is equal to 0.01%, and yields move in the opposite direction of price movement.

The 2-year Treasury yield decreased by more than 1 basis point to 3.2699%, but it still remained substantially higher than the 10-year rate. Wall Street is closely monitoring that relationship as a potential recession indicator. Market participants are now closely awaiting the publication of the July CPI report on Wednesday.

Forecasts Project That Consumer Inflation Will Drop from June’s 9.1% to 8.7% in July on an Annual Basis.

After the Fed’s two consecutive 75-basis point rate hikes in June and July, it is anticipated that the crucial inflation report will reveal a slowdown in price growth.

According to Dow Jones, economists anticipate a 0.2% increase in the consumer price index in July, down from a 1.3% increase in June. Consumer inflation is anticipated to slow down from June’s 9.1% rate to 8.7% in July on an annual basis.

The CPI will be released at 8:30 a.m. ET. At 10 a.m. and 2 p.m., respectively, the monthly federal budget for July and wholesale inventories for June are scheduled for release.

Charles Evans of the Chicago Federal Reserve and Neel Kashkari of the Minneapolis Federal Reserve will each make a speech on Wednesday about the state of the US economy.

A $35 billion 10-year note and a $30 billion 119-day bill auction will be held by the US Treasury.