(RTTNews) - Treasuries saw modest weakness throughout much of the trading day on Tuesday before regaining ground late in the session.
Bond prices climbed back near the unchanged line in the latter part of the session before closing roughly flat. The yield on the benchmark ten-year note, which moves opposite of its price, edged down by less than a basis point to 4.274 percent after reaching a high of 4.30 percent.
The late-day recovery treasuries came after the House of Representatives passed a bill to end the three-day partial government shutdown.
The bill provides funding for several major government departments until the end of the fiscal year on September 30th but only funds the Department of Homeland Security for two weeks.
Democrats had opposed funding DHS for the rest of the fiscal year over the killings of two U.S. citizens by federal immigration officers.
The stopgap funding is intended to allow lawmakers to negotiate steps to rein in the actions of Immigration and Customs Enforcement and Border Patrol agents.
The early weakness in the bond market came as traders continued to digest yesterday's report showing an unexpected expansion in U.S. manufacturing activity in the month of January.
As a result of the government shutdown, the Labor Department delayed the release of this morning's report on job openings as well as the more closely watched monthly jobs report originally due to be released on Friday.
Trading on Wednesday may be impacted by reaction to reports on private sector employment and service sector activity.
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