Government bond yields rose on Monday morning, with investors focusing on the development of the Russia-Ukraine war and rising oil prices.
The yield on the reference 10-year government securities rose 4.8 basis points to 1.765% around 7 am ET. The yield on 30-year treasury bonds added 2.6 basis points to 2.174%. Yields are moving back in price and 1 basis point is equal to 0.01%.
Moscow said Monday it would halt attacks in four Ukrainian cities, including Kyiv, to allow the evacuation of civilians.
Attempts to evacuate were suspended over the weekend after Russian forces were accused of violating the ceasefire in the cities of Mariupol and Volnovakha.
U.S. Secretary of State Anthony Blinken said Sunday that the United States and its allies are considering banning imports of Russian oil and natural gas in response to the country’s invasion of Ukraine.
West Texas Intermediate, meanwhile, briefly topped $ 130 a barrel on Sunday night, its highest point since 2008 amid fears of a ban on Russian oil and gas.
There are fears that banning Russian oil and gas would increase the risk of stagflation, which raises inflation but slows economic growth.
Therefore, investors will monitor even more closely the data on inflation, which should come out later in the week.
No major economic data is expected on Monday.
Auctions are expected to be held for $ 60 billion for 13-week and $ 51 billion for 26-week.
– CNBC.com staff contributed to this market report.