Treasury yields rose on Wednesday, the second trading day in 2020, as investors assessed the status of a new coronavirus stimulus package.
The yield on the 10-year benchmark gained 2 basis points, to 0.9514%, while the yield on the 30-year bond was also higher at 1.6932%. Yields move in the opposite direction to prices.
Republican Senate Majority Leader Mitch McConnell on Tuesday blocked an attempt to unanimously pass a bill to increase direct payments in the end-of-year coronavirus aid package to $ 2,000.
McConnell is under pressure to act after the House – with nearly all Democrats and dozens of Republicans on board – voted Monday to increase cash deposits to $ 2,000 from $ 600.
Senate Republicans are wary of spending more on pandemic aid and are looking for a way to meet both the demands of a president who called the coronavirus aid project a shame at the end of the year and funding and maintain a majority during crisis-shaded races.
In terms of data, the economic indicators advanced for November are scheduled to be released around 8:30 AM ET. Data on the Chicago Procurement Managers’ Index (PMI) for December and pending home sales for November will be released slightly later in the session.
The US Treasury will bid $ 25 billion in 105-day banknotes and $ 30 billion in 154-day banknotes on Wednesday.
– CNBC’s Jacob Pramuk contributed to this report.