Treasury yields move amid Covid-19 and economic concerns

U.S. Treasury yields rose on Tuesday morning, despite rapidly rising coronavirus cases across the country and an uncertain economic outlook as a result.The yield on the benchmark 10-year Treasury note climbed to 0.857% at 5:30 a.m. ET, while the yield on the 30-year Treasury bond rose to 1.591%. Yields move inversely to prices.Treasury yields climbed even though cases of Covid-19 continue to surge in the U.S., with confirmed infections reaching 13,541,224 on Monday, data compiled by Johns Hopkins University showed.On Monday, Federal Reserve Chairman Jerome Powell said the economic outlook had become “extraordinarily uncertain,” while speaking before Congress.Powell is due to speak again on Tuesday at 12 p.m. ET. Fed Governor Lael Brainard is then set to make a speech at 2 p.m., followed by San Francisco Fed President Mary Daly at 3:15 p.m. ET and Chicago Fed President Charles Evans at 5 p.m. ET.The final November Markit manufacturing purchasing managers’ index data is expected at 11:45 a.m. ET on Tuesday. November data for the ISM manufacturing PMI, prices, new orders and employment are then set to be released at 12 p.m. ET, along with October construction spending figures.Weekly API crude oil stock change data is due at 6:30 p.m. ET.Auctions will be held on Tuesday for $34 billion of 52-week bills, $30 billion of 119-day bills and $30 billion of 42-day bills.

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