Yields rise off lows after Fed's Clarida backs rate expectations

US Treasury yields bounced higher on Wednesday after a top U.S. Federal Reserve official backedexpectations for higher interest rates, shifting traders' focus away from a disappointing payroll report.

The benchmark 10-year yield was up 3.3 basis points at 1.207% in late-morning trading. It previously touched 1.127%, its lowest since February. Yields rose as Fed Vice Chair Richard Clarida spoke at an online economic event. Clarida said he could envision a taper in bond purchases later this year, and that the U.S. economy is on track to meet hurdles the central bank has set for raising interest rates.