U.S. Treasury yields were down in pre-market trading Tuesday (July 20), with the 10-year rate dipping to 1.17%, extending a fall from the previous session amid COVID-19 variant fears.
The yield on the benchmark 10-year Treasury note was down one basis point to 1.17%. The yield on the 30-year Treasury bond slipped slightly to 1.731%.
Yields move inversely to prices and one basis point equals 0.01 percentage points.
The 10-year Treasury yield fell to a five-month low as investors grew concerned about the spread of COVID-19 variants, as well as the effect of inflationary pressures on the economic recovery.
COVID-19 cases are rising in the U.S., with the spread of the Delta variant, largely among the unvaccinated. The U.S. is averaging about 26,000 daily cases in the last seven days, more than double the average from a month ago, according to data from the Centers for Disease Control (CDC).
An auction will be held on July 20 for $35 billion U.S. worth of 42-day bills.
