Treasuries experienced a slight decline on Monday, continuing the downward trend from the previous session. While bond prices attempted a recovery from an early dip, they maintained their negative slope. Consequently, the yield on the key ten-year note, which inversely relates to bond prices, increased by 2.2 basis points to reach 4.618 percent.
Earlier in the session, there was a rise in the ten-year yield to 4.644 percent, marking the highest intraday level since early May 2024. Ongoing concerns about interest rate prospects contributed to the pressure on treasuries, particularly with critical economic data releases anticipated in the forthcoming days.
The Labor Department is set to release its closely monitored monthly employment report on Friday, predicted to reveal a gain of 160,000 jobs in December following a surge of 227,000 jobs in November. Additional reports focusing on the service sector, job openings, private sector employment, and consumer sentiment are expected to draw significant interest. These will be accompanied by the minutes from the latest Federal Reserve meeting.
In the realm of U.S. economic developments, the Commerce Department reported a slightly larger-than-anticipated drop in new orders for manufactured goods for November. Specifically, factory orders declined by 0.4 percent, following a revised 0.5 percent increase in October. Economists had projected a 0.3 percent decrease compared to the initially reported 0.2 percent rise in the preceding month.
Market activity on Tuesday may be shaped by responses to reports concerning the U.S. trade deficit, service sector performance, and job openings.
The material has been provided by InstaForex Company -
www.instaforex.com
