Bond investors are gearing up for a busy week, with the Treasury’s latest view on debt sales, a Federal Reserve meeting, and key economic data including the July jobs report. The market is on track for its second negative month of the year as rate cut expectations decrease and yields rise.

Traders anticipate no rate change this week but expect a quarter-point reduction in September. Focus is on potential dissent at the Fed meeting and chair Jay Powell’s press conference amid pressure for rate cuts. The July employment report could shift rate cut expectations and market performance for the year.

TD Securities rates strategist predicts the employment data will be a key driver for market response. Expectations are for Governors Bowman and Waller to dissent at the Fed meeting, potentially causing a modest bullish response in rates. Treasury’s plan to address large deficits will also be closely watched.

A compacted late month auction schedule includes the sale of two- and five-year notes as Treasury addresses financing large deficits. Economic data throughout the week will impact market performance, with key reports including GDP, personal income, and spending, as well as the non-farm payrolls report on August 1st.

Read more at Yahoo Finance: Bond Traders Await Fed Meeting, Refunding and July Jobs Report