Treasury yields rise to start the new year

US News

U.S. government debt prices were lower Monday morning as investors prepare for the start of a new year of trading.

At around 4:10 a.m. ET, the yield on the benchmark 10-year Treasury note climbed to 0.9265% while the yield on the 30-year Treasury bond rose to 1.6556%. Yields move inversely to prices.

The Dow and S&P 500 closed at record highs on Thursday to round off a strong year of gains on Wall Street despite the coronavirus pandemic, fueled in part by unprecedented fiscal and monetary stimulus.

Several Covid-19 vaccine options now being rolled out across the U.S., though supply constraints have slowed distribution of late.

Moncef Slaoui, the head of Operation Warp Speed, said on Sunday that the U.S. could ramp up its vaccine rollout by giving a group of Americans half doses of the drug developed by Moderna.

As of Monday morning, the U.S. has recorded more than 20.6 million cases of the virus and more than 351,000 deaths, according to data compiled by Johns Hopkins University, with cases continuing to rise.

Attention this week will also shift to Tuesday’s Georgia Senate runoff, with Democrats needing to pick up both available seats to secure a Senate majority.

On the data front, December’s final Markit manufacturing PMI (purchasing managers’ index) reading is expected at 9:45 a.m. ET on Monday.

Auctions will be held for $54 billion of 13-week Treasury bills and $51 billion of 26-week bills.

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