2017.08.1819:55:00UTC+00Treasury Yields Experience Turbulent Trading Week

The Treasury markets found itself back where it almost began in a volatile trading week that was focused on the turmoil of President Donald Trump's administration, dissimilar economic data, the dovish tone of policymakers in the latest Fed minutes and a terrorist attack in Spain.

The Friday's trade highlighted the increased volatility, as reports that Trump forced Steve Bannon to step down as White House chief strategist prompted some trading before activity eased.

The two-year government bond's yield increased by less than a basis point to 1.314 percent, adding up to a weekly increase of 2 basis points, marking its biggest rise in six weeks.

Meanwhile, the 10- year benchmark Treasury yield as almost flat for both Friday and the week, ending at 2.196 percent. The long bond or the 30-year Treasury bond's yield was unchanged on the day at 2.779 percent, but posted a weekly decline of 1.1 basis point.

Yields managed to climb back up from their intraday lows after reports surfaced that Trump has fired Bannon. Bond traders were divided if the news would give stability to the Trump administration, after the president's comments to a violent incident at a white-supremacist rally in Virginia elicited turmoil in Washington.