Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
The U.S. Treasuries plunged Tuesday after New York Fed President Dudley and St. Louis Fed President Bullard suggested that a December hike was quite likely. Also, bonds prices fell after U.S. manufacturing gauge climbed to the highest since 2015, bolstering Fed’s case to raise interest rates in 2016.
The yield on the benchmark 10-year Treasury note rose 2-1/2 basis points to 1.786 percent, the yield on long-term 30-year Treasury also jumped 2-1/2 basis points to 2.538 percent and the yield on short-term 2-year note climbed 1-1/2 basis points to 0.856 percent by 12:00 GMT.
Adding to earlier comments, St. Louis Fed President Bullard indicated that there was no urgency to raise rates (though seeing a move in December as most likely), noting that 2H16 growth estimates do not look particularly impressive.
Also, New York Fed President Dudley (voter in 2016) said that the Treasury market continues to evolve, several complex questions/issues lie ahead, particularly how data reporting gaps should be close to ensure than as many relevant Treasury transactions as possible are collected, also aiming to define the proper scope/best process for sharing Treasury market data with the public.
The preliminary Markit US manufacturing PMI reading increased to 53.2 for October (highest since 2015), from the 51.4 reading seen for September. This comes in above market expectations for a 51.2 result
Markets now look ahead to S&P/Case-Shiller home prices and Conference Board consumer confidence releases today, followed later by a 2-year note auction.
Meanwhile, the S&P 500 Futures traded 2.50 points higher at 2,147 by 12:20 GMT.
