Authorities bond yields fall as traders watch stimulus plans
U.S. Treasury Department returns plummeted Monday as traders watched President Joe Biden’s efforts to enforce his proposed $ 1.9 trillion stimulus plan.
The yield on the benchmark 10-year Treasury note fell to 1.036% around 2:15 p.m. ET, while the yield on the 30-year Treasury note fell to 1.794%. The returns move inversely to the prices.
Government bond yields fell as Biden’s coronavirus spending package met opposition from many Republicans in Congress.
The tax subsidy includes, among other things, direct controls for millions of Americans, aid to state and local governments, funding for Covid vaccines and tests, increasing the minimum wage, and improving unemployment benefits.
December data from the Chicago Fed’s National Activity Index, which tracks economic activity and related inflationary pressures, will be released on Monday at 8:30 am CET.
The January data for the Dallas Fed Manufacturing Index will then be released at 10:30 am CET.
Auctions will be held Monday for 13-week bills valued at $ 54 billion, 26-week bills worth $ 51 billion, and two-year bills worth $ 60 billion.
– CNBC’s Pippa Stevens contributed to this report.