Treasury bond yields have risen rapidly recently due to concerns about possible inflation growth amid the economic recovery from the coronavirus pandemic. However, data released on Friday for the personal consumer spending price index showed moderate price inflation in February.
A key measure of US long-term borrowing costs has reached its highest level since the early days of the coronavirus crisis, as traders sold Treasuries at the end of a brutal quarter for global government bonds.
The yield on 10-year Treasuries rose as much as 0.06 percentage points from Monday's closing level to 1.77%, the highest point since January 2020.
Fed Chairman Jerome Powell said earlier this month that the central bank expected inflation to rise this year but said this "temporary increase" would not be enough for the Fed to adjust its policy.
Investors will be on the lookout for updates on President Joe Biden's infrastructure plan. On Wednesday, the president will travel to Pittsburgh, Pennsylvania, to present plans for a $ 3 trillion infrastructure package, which comes after this month's $ 1.9 trillion fiscal stimulus bill.
President Joe Biden promised Monday that by mid-April 90 percent of American adults would be eligible for the Covid-19 vaccine and would have access to a vaccination site within 5 miles of their homes.
Auctions will be held Monday for $ 57 billion in 13-week notes and $ 54 billion in 26-week notes.