U.S. Treasuries retreated on Monday, in line with weakness across European bond markets, as investors braced for key inflation readings this week that could point to persistent price pressures, while keeping a close eye on continued geopolitical Middle East tension as oil prices rose.
The move reversed part of Friday's rally, which followed weaker-than-expected U.S. nonfarm payrolls data, as traders re-established short positions and pared long exposure.