U.S. Treasury yields were little changed on Monday as investors look ahead to a busy week of economic data, including the Federal Reserve’s preferred inflation gauge.
At 4:28 a.m. ET, the benchmark 10-year Treasury yield was down less than one basis point at 4.26%, while the 2-year Treasury yield was up less than a basis point to 3.76%.
One basis point equals 0.01%. Yields and prices move in opposite directions.
Investors are anticipating a series of economic data this week while also keeping a close eye on U.S. President Donald Trump’s fast-changing tariff policies.
Investors have been watching as Trump repeatedly changed his mind on his trade policies, including indicating that tariffs on China may come down last week. U.S. levies on China currently stand at 145%.
However, comments from the White House leader, published by Time Magazine on Friday, showed the president would consider it a “total victory” if the U.S. implemented high tariffs of 20% to 50% on foreign countries in a year.
Trump’s comments dampened investor sentiment over hopes for a U.S.-China trade deal. Now, they will look to economic data this week to get a sense of the health of the U.S. economy.
Investors will await the Jobs Opening and Labor Turnover Survey on Tuesday which will offer insights into the labor market.
The big data release of the week will be the personal consumption expenditures index on Wednesday, which is the Fed’s preferred inflation gauge, and will offer clues about interest rate expectations.
They will also look out for gross domestic product figures on Wednesday which will show how the U.S. economy fared in the first quarter.
