U.S. Treasury yields rose slightly on Tuesday after lawmakers shared their latest proposal for stimulus spending, to help the country's economy as it continues to deal with the spread of the coronavirus.
Treasury yields climbed after lawmakers put forward another economic relief package on Monday evening, which sees the splitting of the previously proposed $908 billion bipartisan stimulus package into two parts.
A first bill of $748 billion would be for spending on programs that are favored by both Democrats and Republicans, while the second $160 billion bill would be for state and local aid.
The U.S. administered its first shots of the Pfizer-BioNTech coronavirus vaccine on Monday. The country's confirmed Covid-19 death toll is now well over the 300,000 mark, data compiled by Johns Hopkins University showed.
On Tuesday, the Food and Drug Administration said the data on Moderna's coronavirus vaccine met expectations for emergency use, a crucial step before a full approval. If the FDA greenlights the vaccine, it would be the second approved for use in the U.S. behind Pfizer's.
On the data front, manufacturing activity edged lower in the New York area though hiring picked up, according to the December reading of the New York Fed's Empire State Manufacturing Survey.
Auctions will be held Tuesday for $30 billion of 119-day bills and $30 billion of 42-day bills.