U.S. Treasury yields climbed on Monday as the market digested the Federal Reserve’s ongoing tapering of its asset purchases. The Fed has signaled its intent to continue scaling back its monetary stimulus in measured steps, contingent on economic data.

The 10-year Treasury note yield rose to 2.60%, while the 30-year bond yield increased to 3.55%. Shorter-term yields also saw gains, with the 2-year note yield edging up to 0.40%.

Analysts attribute the rise in yields to a combination of factors, including:

• The Fed’s tapering of asset purchases
• Improved economic data
• Expectations of future inflation

The Fed’s decision to taper its asset purchases is seen as a sign of confidence in the U.S. economy. However, some investors remain concerned about the potential impact of higher interest rates on economic growth.

Looking ahead, investors will be closely watching economic data and Fed communications for further clues about the future path of monetary policy.