U.S. Treasuries remain tad lower on hopes of fruitful trade talks; eyes on June ISM manufacturing PMI

The U.S. Treasuries remained tad lower during Monday’s afternoon session, ahead of the country’s ISM manufacturing PMI data for the month of June, scheduled to be released today by 14:00GMT, with major focus still on the trade talks between President Donald Trump and his Chinese peer Xi Jinping.

The yield on the benchmark 10-year Treasury yield surged 1-1/2 basis points to 2.014 percent, the super-long 30-year bond yields edged 1 basis point higher to 2.536 percent and the yield on the short-term 2-year also trade 1-1/2 basis points up at 1.757 percent by 11:30GMT.

A busy week for US economic news will kick off today with the June ISM manufacturing survey on Monday, with the equivalent non-manufacturing survey coming on Wednesday. With the following day bringing the Independence Day holiday, Wednesday will also bring several other releases, including the weekly jobless claims numbers, the ADP June employment figures, and final durable goods and trade reports for May, Daiwa Capital Markets reported.

Most attention will be on Friday’s labour market report for June, with nonfarm payroll growth expected to take a step up from 75k in June close to the average for the year to-date (164k).

The unemployment rate, meanwhile, is expected to remain unchanged at 3.6 percent, while average earnings data will be closely watched too. Beyond the data, Fed Vice Chair Clarida will speak on monetary policy on Monday with NY Fed President John Williams speaking the following day along with Cleveland Fed President Loretta Mester, the report added.

Meanwhile, the S&P 500 Futures traded 1.13 percent higher at 2,977.62 by 11:35GMT, while at 11:00GMT, the FxWirePro's Hourly Dollar Strength Index remained neutral at 4.62 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex