Government bond yields were flat on Monday morning, with investors focusing on the job vacancy data due to be released later that morning and the inflation data due to be released later this week.
The ten-year benchmark bond yield fell less than one basis point to 1.28% at 9:55 a.m. ET. The 30-year government bond yield rose less than one basis point to 1.932%. The returns move inversely to the prices.
The Department of Labor will release the June job vacancy and turnover survey at 10 a.m. ET on Monday.
Government bond yields rose on Friday following a better-than-expected payroll report from the Department of Labor outside of Agriculture.
The report showed that 943,000 jobs were created in July, well above the 845,000 forecast by economists. Meanwhile, the unemployment rate fell to 5.4%, below the expected rate of 5.7%.
Employment data is one of the main economic indicators used by the Federal Reserve to determine when it will start tightening monetary policy, along with inflation readings.
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The consumer price index and producer price index, both of which measure inflation, are due to be released on Wednesday and Thursday, respectively.
Julian Howard, head of multi-asset solutions at GAM, told CNBC’s “Squawk Box Europe” on Monday that he said the Fed was “still ready to see through higher inflation rates” amid temporary spikes in the context of economic growth Recovery from the coronavirus pandemic.
In addition, Atlanta Fed President Raphael Bostic and Richmond Fed President Thomas Barkin are due to speak on Monday.
Auctions will be held Monday for $ 54 billion on 13-week bills and $ 51 billion on 26-week bills.
– CNBC’s Patti Domm contributed to this report.
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