Treasuries Show Strong Move Back To The Upside Amid Pullback By Oil Prices

(RTTNews) - After moving sharply lower over the past several sessions, treasuries showed a strong move back to the upside during trading on Monday.

Bond prices advanced early in the session and remained firmly positive throughout the day. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, slumped 6.5 basis points to 4.220 percent.

With the decrease on the day, the ten-year yield gave back ground after reaching its highest closing level in almost two months.

The rebound by treasuries came amid a sharp pullback by the price of crude oil, with crude for April delivery plunging by nearly 5 percent after soaring by 8.6 percent last week.

Oil prices are giving back ground after President Donald Trump called on other countries to help secure the Strait of Hormuz.

"I'm demanding that these countries come in and protect their own territory, because it is their territory. It's the place from which they get their energy," Trump told reporters aboard Air Force One on Sunday. "And they should come and they should help us protect it."

"Why are we maintaining the Hormuz Strait when it's really there for China and many other countries?" he asked. "Why aren't they doing it?"

The pullback by oil prices has helped ease recent inflation concerns, although the Federal Reserve is still widely expected to leave interest rates when it meets in the coming days.

In U.S. economic news, a report released by the Fed showed industrial production in the U.S. increased by slightly more than expected in the month of February.

The Fed said industrial production rose by 0.2 percent in February after climbing by 0.7 percent in January. Economists had expected industrial production to inch up by 0.1 percent.