U.S. Treasury yields climbed on Monday, with the 10-year yield hovering just below the latest 15-year high it hit last week, as investors assessed the outlook for interest rates and awaited fresh economic data.
At 4:18 p.m. ET, the yield on the 10-year Treasury was up more than 12 basis points at 4.693%. It earlier hit a high of 4.701%, which marked its highest level since Oct. 15, 2007, when it reached a high of 4.719%.
The 2-year Treasury yield was trading at 5.112% after rising by more than 6 basis points.
Yields and prices move in opposite directions and one basis point equals 0.01%.
Treasurys
Yields rose after the U.S. managed to avoid a government shutdown Saturday night, less than three hours before the deadline. Lawmakers now have over 40 days to finalize and reach an agreement on their funding legislation. Investors sold safe haven treasuries on the back of the news, which boosted yields in turn.
Wall Street also weighed the outlook for the economy and monetary policy after Friday's release of the personal consumption expenditures price index, which came in lower than previously anticipated for August.
That came as investors considered the outlook for Federal Reserve monetary policy, especially on interest rates. Fed officials have indicated that a further interest rate hike may be necessary this year and rates are likely to stay higher for longer as policymakers work to ease the economy and cool persistent inflation.
Investors will be looking to economic reports and comments from Fed officials this week for fresh hints about the state of the economy. Data from the manufacturing sector is due Monday, and several key labor market reports are expected throughout the week, including the September's nonfarm payrolls and unemployment figures on Friday.