TREASURIES -US yields fall as inflation data cements rate cut next week

NEW YORK, Oct 24 (Reuters) - U.S. Treasury yields slid on Friday after data showed consumer prices in the world's largest economy rose modestly less than expected in September, reinforcing expectations that the Federal Reserve will cut interest rates at its policy meeting next week.

The U.S. Consumer Price Index (CPI) rose 0.3% last month after climbing 0.4% in August, data showed. On a year-on-year basis, the CPI grew 3.0% after advancing 2.9% in August.

The benchmark 10-year yield turned lower after the data and was last down 1.5 basis points (bps) at 3.976% US10YT=RR, while the two-year yield dipped 3.2 bps to 3.450% US2YT=RR.