As traders anticipate the upcoming Fed meeting, the 10-year Treasury yield slightly increases.

On Tuesday, the U.S. 10-year Treasury yield increased slightly as traders evaluated the most recent economic information and anticipated the Federal Reserve's upcoming rate decision.

The yield on the increased by approximately 3 points to 4.909%. Meanwhile, the yield was trading more than 3 basis points higher at 5.071%.

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

In the third quarter, the employment cost index, which measures total compensation costs for U.S. nongovernment workers, rose slightly faster than expected, with an increase of 1.1%, compared to the 1% increase in the prior reading.

The Fed will announce its latest interest rate decision on Wednesday, with markets anticipating no change and seeking clues about future rate increases from the accompanying rate decision and Fed Chairman Jerome Powell's press conference.

In recent weeks, several policymakers have stated that interest rates may not need to increase, as they believe tighter financial conditions resulting from higher Treasury yields will lead to an easing economy.

The Treasury's borrowing plans for the final three months of 2022 were shared with investors, who evaluated the state of the economy after learning that the Treasury aims to borrow $776 billion, which is less than the previously anticipated amount.

On Tuesday, the Bank of Japan declared that it would maintain interest rates but make its yield curve control policy more adaptable.

— CNBC’s Jeff Cox contributed to this report.