Treasury yields rose slightly on Tuesday to close out a volatile second quarter.
Federal Reserve Chairman Jerome Powell and Treasury Secretary Steven Mnuchin testified before the House Financial Services Committee on Tuesday.
In remarks prepared for a congressional hearing Tuesday, Powell said that despite a recent uptick in economic activity as lockdown measures are eased across the world's largest economy, the outlook is "extraordinarily uncertain" and will rely on both containing the virus and government support for the recovery.
Mnuchin said he expects more stimulus funding to be approved by the end of July.
Meanwhile, coronavirus cases continue to surge around the country, forcing states including New Jersey, Arizona and Kansas to walk back plans to further ease lockdown measures. A Reuters tally showed that California marked a record daily spike in new Covid-19 cases on Monday as Los Angeles health officials warned that hospitals could become overwhelmed.
According to data compiled by Johns Hopkins University, the U.S. has now confirmed more than 2.59 million coronavirus cases with more than 126,000 deaths, and Dr. Anne Schuchat, principal deputy director of the Centers for Disease Control and Prevention, said Monday that the virus is spreading too rapidly in the country to be brought under control.
Auctions will be held Tuesday for $35 billion of 119-day Treasury bills and $35 billion of 42-day bills.