Reduced Brexit fears drive Oughout S
By Richard Leong
NEW YORK, June 20 (Reuters) -- U. S. Treasury yields rose on Monday along with longer-dated yields hitting their highest level in more than week, as traders trimmed safe-haven holdings of government debt due to polls showing increased t.co support for Britain in which to stay the European Union.
The shift in polls to favoring "Bremain" over "Brexit" comes after last week's killing of parliament member Jo Cox, who had been a supporter for the U. Nited kingdom.
to remain part of the economic bloc.
Oughout. S. policymakers including Government Reserve Chair Janet Yellen have stated that the risk of Brexit, and the potential impact on the particular global economy, was a factor in the Fed's decision to leave interest prices unchanged last week.
"The shift in the polls was the primary news. Provides were sold throughout the board, but yields continue to be from relatively low levels, inch said Andrew Richman, set income strategist at SunTrust Private Wealth Management in West Palm Beach, California.
Britons will cast their vote on whether their particular country should stay in the EU on Thursday.
Standard 10-year Treasury yields went up over 5 basis points from late Friday to 1. 671 percent right after reaching 1. 680 % earlier on Monday.
The yield on 30-year bonds was last 2. 473 percent, up 4 schedule points on the day.
Last week, the 10-year yield slid to its lowest level since Aug 2012 on Brexit concerns, the Bank of Japan's decision to refrain from embarking on more stimulus for the moment, and Fed officials' lowering their outlook on the pace of rate increases.
Best Fed officials scaled back their view on price hikes carrying out a poor Might jobs report and prolonged weakness within the manufacturing field.
Meanwhile, investors awaited Yellen's two-day testimony before Our elected representatives, which starts on Wednesday, where she might provide clues within the timing of the central bank's next rate increase.
Rates of interest futures implied traders saw the 46 percent chance that the Fed would raise rates by the finish of 2016, down from 66 percent a 30 days earlier, according to CME Group's FedWatch program.
While the Brexit referendum and Yellen's testimony are the week's main market events, traders may also contend with Treasury supply.
The Treasury Division sold $26 billion associated with two-year notes to moderate demand as direct customers purchased the fewest two-year issue since January 2015.
Treasury will sell $34 billion in five-year records on Tuesday and $28 billion in seven-year notes on Wednesday. It will auction $13 billion in two-year floating-rate notes and $5 billion of 30-year Treasury inflation-protected securities on Wednesday. (Editing by Jeffrey Benkoe and Leslie Adler)
