U.S. Treasury yields rose on Monday after news of an effective coronavirus vaccine from AstraZeneca and hopes that people in the U.S. could start being immunized in December.
The yield on the benchmark 10-year Treasury note climbed to 0.849% at 5:07 a.m. ET, while the yield on the 30-year Treasury bond rose to 1.551%. Yields move inversely to prices.
Treasury yields moved higher as British pharmaceutical giant AstraZeneca announced Monday that the coronavirus vaccine it had developed with the University of Oxford is on average 70% effective in protecting against Covid-19.
This follows similar promising news of effective vaccines from Pfizer and BioNTech, as well as Moderna.
Dr. Moncef Slaoui, advisor on the U.S. government’s vaccine plan “Operation Warp Speed,” told CNBC on Friday that people would be immunized within 24 hours of the Food and Drug Administration granting emergency use authorizations on a vaccine.
Slaoui said the U.S. would have “up to 35 million to 40 million doses” of a vaccine in December.
Confirmed cases of the coronavirus in the U.S. continue to surge at 12,247,488, according to data compiled by Johns Hopkins University.
October data from the Chicago Fed National Activity Index is due out at 10:30 a.m. ET on Monday, followed by November figures from the Markit purchasing managers’ index at 11:45 a.m. ET.
Mary Daly, president of the San Francisco Federal Reserve, is set to make a speech at 3 p.m. ET and Chicago Fed President Charles Evans is due to speak at 5 p.m. ET.
Auctions will be held on Monday for $54 billion of 13-week bills and $51 billion of 26-week bills, as well as $56 billion of 2-year notes and $57 billion of 5-year notes.
