FX.co ★ Treasury Yields Rise

The yield on the US 10-year Treasury note climbed to 4.16% on Monday, reaching its highest point in over a week. This increase was partially influenced by rising borrowing costs in Europe and Japan, driven by recent political events. Market participants are also attentively observing the ongoing US federal government shutdown, now entering its sixth day. This has resulted in delays in the release of significant economic data and a warning from President Trump regarding potential dismissals of federal employees. Last week's data from the private sector indicated a tepid labor market and a slowdown in demand, although these figures did not immediately trigger concerns about the overall economic growth outlook. Market participants are now keenly anticipating new commentaries from central bank officials and the release of the FOMC minutes this week, seeking further direction on the monetary policy front.