Treasury yields jumped on Monday amid renewed optimism that a coronavirus aid package could be agreed in the coming weeks.
House Speaker Nancy Pelosi said Sunday that although differences remain between congressional Democrats and White House negotiators, she was optimistic about pushing through legislation on a fiscal stimulus deal before the Nov. 3 election.
However, concerns remain over the current surge in Covid-19 cases across the U.S. A CNBC analysis of Johns Hopkins University data showed Covid-19 cases were growing by 5% or more in 38 states as of Friday, with the daily case average nationwide rising by more than 16% week on week to nearly 55,000.
There are no major economic data releases Monday, but investors will be monitoring Federal Reserve Chairman Jerome Powell’s speech at 8 a.m. ET.
Auctions will be held Monday for $54 billion of 13-week Treasury bills and $51 billion of 26-week bills.