The benchmark 10-year U.S. Treasury yield rose Monday to a level not seen in more than three years, as traders continued to assess rising inflation.
The yield on the 10-year Treasury note last rose 4 basis points to 2.851%. Earlier Monday it reached its highest level since late 2018, trading at 2.884% at one point. The yield on the 30-year Treasury bond rose 2 points to 2.937%.
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Yields move inversely to prices, and 1 basis point is equal to 0.01%.
Yields began climbing in March as fear of inflation made investors move out of bonds. Rising inflation reduces the value of fixed, long-term yields, and it's also generated speculation that the U.S. Federal Reserve will boost the size of planned rate hikes.
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On Wednesday, the Bureau of Labor Statistics reported that the March producer price index, which tracks prices paid by wholesalers, rose 11.2% on the previous year, its biggest gain since 2010.
That reading came a day after the latest consumer price index, which showed prices inflated 8.5% in March from the same time last year, its biggest increase since 1981. But core CPI for the month rose just 0.3%, which was below the 0.5% inflation forecast.
Money Report
U.S. stocks were lower on Monday as investors braced for a week of major first-quarter earnings reports ahead.
Investors also continued to monitor developments in the Russia-Ukraine war. Ukrainian Prime Minister Denys Shmyhal said on Sunday that the remaining Ukrainian forces in the southern port of Mariupol are continuing to fight, defying a Russian demand to surrender.
— CNBC's Vicky McKeever and Sarah Min contributed to this market report.