Rates on U.S. government debt held steady on Monday after no major escalation in Middle East tensions over the weekend.
What happened
- The yield on the 2-year Treasury BX:TMUBMUSD02 Y was unchanged at 4.969% versus Friday’s 3 p.m. Eastern time level. Monday’s level is the second-highest of the year.
- The yield on the 10-year Treasury BX:TMUBMUSD10Y rose less than 1 basis point to 4.622%, from 4.613% on Friday.
- The yield on the 30-year Treasury BX:TMUBMUSD30Y advanced 1.4 basis points to 4.724%, from 4.71% on Friday.
What drove markets
The past weekend brought no escalating tensions between Israel and Iran, dragging safe-haven plays lower. Gold for June delivery GC00, -1.16% tumbled and the most-active contract had its worst one-day percentage decline in more than a year.
Over the weekend, the House of Representatives approved a $ 95 billion foreign-aid package for Ukraine, Israel and other U.S. allies. The package is expected to be approved by the Senate.
Meanwhile, the bond market is looking toward Thursday’s U.S. GDP report and Friday’s release of the personal-consumption expenditures price index, the Federal Reserve’s preferred inflation gauge.