The 10-year Treasury yield falls as the Fed cuts interest rates

Treasury yields fell on Thursday as the Federal Reserve cut interest rates by a quarter point, as expected.

The 10-year Treasury yield traded 9 basis points lower at 4.35% after rising over 14 basis points in the previous session. The two-year Treasury yield fell 6 basis points to 4.21%.

Yields and prices move in opposite directions. One basis point is equal to 0.01%.

The Federal Reserve on Thursday cut its federal funds rate by a quarter of a percentage point, or 25 basis points, to a target range of 4.50% to 4.75%. Markets had largely expected the reduction. The Fed moved at a less aggressive pace than the big half-percentage point cut in September.

Powell will answer questions about the decision at his news conference at 2:30 p.m.

The benchmark 10-year Treasury rate rose in the previous session in response to Trump's overwhelming victory over Vice President Kamala Harris in the presidential election. It is widely expected that Trump will impose tax cuts and high tariffs, which could boost economic growth but also widen the budget deficit and reignite inflation.

As for the data, initial jobless claims were roughly in line with estimates at 221,000. Economists surveyed by Dow Jones expected 220,000 claims for the week ending November 2nd.

—CNBC's Jeff Cox contributed to this report.