Treasury prices edged up Monday as traders prepared for a speech by the Federal Reserve chairman at the end of the week.
The 10-year Treasury note rose 37.5 cents for every $100 invested in light trading. The higher price pushed the 10-year yield down to 1.65 percent, compared with 1.65 percent late Friday.
Ben Bernanke, the Fed chairman, will speak on Friday at an annual conference in Jackson Hole, Wyoming. Traders will be sifting through Bernanke's speech for hints the Fed is preparing more steps to support the economic recovery.
Previous Fed programs have focused on buying Treasurys and mortgage bonds. In August 2010, Bernanke outlined an effort to spur economic growth, prevent prices from falling and push markets higher through the purchase of government bonds. Stocks began climbing in the days after the speech, while Treasury yields fell.
In other Monday trading, the 30-year Treasury bond rose 81.2 cents for every $100 invested. Its yield dropped to 2.76 percent from 2.79 percent late Friday. The yield on the two-year note slipped to 0.26 percent from 0.27 percent.
Treasury yields could waver in coming days as the federal government auctions off $99 billion in Treasury notes to finance the budget. The first of three auctions comes Tuesday with the sale of $35 billion in two-year notes.
In the market for short-term T-bills, the yield on the three-month T-bill fell was unchanged at 0.09 percent.