USA Treasury bonds closed slightly higher on Thursday, reversing the previous decline that had pushed the 5-30 year Treasury yields to their highest levels in months. The last coupon bond auction of the year—the 7-year Treasury auction—received strong demand, which was the main driver of the bond market's reversal. Shortly after 3 PM New York time, yields on Treasuries of all maturities generally declined, with 7-year yields falling the most, down more than 2 basis points. The 10-year Treasury yield fell nearly 2 basis points to 4.57%, after having risen 5 basis points earlier to reach the highest levels since May 2. Yields on 5- to 30-year Treasury bonds have still risen more than 20 basis points since December 17. The Federal Reserve cut interest rates for the third consecutive time on December 18, but at the same time indicated that future rate cuts would be slowed.