After a sharp rise in treasury yields following the Trump victory, they have now edged lower; the market is now waiting for the Fed's decision.

On Thursday, Treasury yields were slightly lower due to investors' reactions to Donald Trump's election victory and anticipation of the U.S. Federal Reserve's decision on interest rates.

The 10-year Treasury yield decreased by more than 1 basis point to 4.409% after increasing by 14 points to 4.433% in the previous session, reaching its highest level since July.

On Wednesday, the 2-year Treasury yield rose about 7 points to 4.274%, but on Thursday it fell 2 basis points to 4.247%, reducing some of its gains.

Prices and yields move in opposite directions, with one basis point equal to 0.01%.

The return of one of the most divisive figures in modern American politics to the White House was marked by Trump's stunning victory over Vice President Kamala Harris.

The possibility of Trump implementing tax cuts and high tariffs has sparked debate about their potential impact on economic growth, deficit, and inflation.

On Thursday, the Federal Reserve is the focal point for investors as it is predicted to deliver another interest rate cut. Financial markets have priced in a quarter-point move lower as a near certainty.

The range for the fed funds rate, which impacts consumer debt through banks' overnight lending rates, is currently between 4.75%-5.0%.

Another quarter-point cut in December is currently being favored by market pricing, followed by a pause in January, and then multiple reductions through 2025.

At 8:30 a.m. ET, investors will closely watch the latest weekly initial jobless claims and preliminary third-quarter productivity and unit labor cost readings.

The session will include a September reading of wholesale inventories and consumer credit data, which will be slightly delayed.

— CNBC's Jeff Cox contributed to this report.