Treasury Yields Rise with Featured Jackson Hole Symposium

U.S. Treasury yields rose on Monday morning as investors focused on the Federal Reserve’s annual central bank event, due to be held later in the week.

The benchmark 10-year Treasury bond yield added 1 basis point to 1.273% at 4:10 am ET. The yield on 30-year Treasury bills rose 1 basis point to 1.886%. Yields move in the opposite direction to prices.

The Fed’s annual symposium in Jackson Hole, Wyo., Is scheduled to take place virtually Thursday and Friday. The event sees central bankers from around the world come together to discuss monetary policy.

Fed Chairman Jerome Powell is scheduled to deliver a speech, which will be broadcast live, Friday at 10 a.m. ET. Investors will be on the lookout for any indication when the Fed may consider starting to cut its bond purchases.

Nomi Prins, author of “Collusion: How Central Bankers Rigged the World,” told CNBC’s “Squawk Box Europe” Monday that she did not think the Fed would announce a cut in bond purchases at that meeting.

She suggested this was because the effect of the Delta Variant’s spread continued to be seen, in forcing the Fed to virtualize the event at the last minute.

“I think President Jerome Powell is going to take a light step like he did after the last few minutes and say there’s potential, we’re looking further, we’re data driven,” all kinds of things that come in the Fed’s speech, ”Prins said.

“But in terms of the actual cut announcement and specific timeline, I don’t think this particular Jackson Hole episode is the time or the place, and I think the Fed is going to be aware of that because of the virtual globality really. of it, “she added.

In terms of data expected Monday, the Chicago Fed will release its July National Economic Activity Index at 8:30 a.m. ET.

Markit is then expected to release flash readings of its Purchasing Managers’ Index for August at 9.45am ET.

The number of existing home sales in July should then be released at 10 a.m. ET.

Auctions are scheduled to take place on Monday for $ 51 billion in 13-week bills and $ 48 billion in 26-week bills.