WASHINGTON (dpa-AFX) - After trending higher over the past couple weeks, treasuries gave back some ground during trading on Monday.
Bond prices moved lower early in the session and saw some further downside as the day progressed. As a result, the yield on the benchmark ten-year note, which moves opposite of its price rose by 2.2 basis points to 2.254 percent.
The pullback by treasuries came on the heels of recent strength, which pulled the ten-year yield down to its lowest closing level in almost a month.
However, traders seemed reluctant to make more significant moves ahead of the Federal Reserve's monetary policy announcement on Wednesday.
While the Fed is widely expected to leave interest rates unchanged, traders will pay close attention to the accompanying statement.
Trading activity may remain somewhat subdued on Tuesday ahead of the Fed announcement, although a report on consumer confidence may attract some attention.
Bond traders are also likely to keep an eye on the results of the Treasury Department's auction of $26 billion worth of two-year notes.
Copyright RTT News/dpa-AFX