Traders said year-end window dressing and technicals gave the market a boost, along with weakness in equities, and ongoing instability in Argentina. But they stressed that trading conditions were very, very thin which exaggerated the gains.
Most markets in Europe and many in Asia were closed for New Year celebrations, while the U.S. put in a shortened session. There was no data on Monday's calendar, only the Treasury's bill auction.
The market is awaiting key figures due beginning Jan. 2 with manufacturing data - now known as the ISM (formerly the NAPM). The December payroll figures will cap the first week of the 2002.
Traders noted that while the yield on the 2-year is well below where it started the year (3.05% vs 4.90%) after the Fed's rate cuts, the bond is about 15 basis points higher. From Standard & Poor's Global Markets