Traders appeared to be in vacation mode Monday afternoon as trading remained quiet at the start of this holiday-shortened week. And most market participants said activity wasn't likely to pick up anytime soon.

"We are just waiting for the first of the month to come with only three and a half days this week," a Chicago trader said. "We are not expecting much and today is pretty quiet. There are not a lot of bids and it's just grinding along."

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.