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Treasuries mixed, dollar edges lower
Bonds extend previous session's losses as market weighs stock rally and Friday's jobs report.
July 11, 2005: 4:27 PM EDT

NEW YORK (CNN/Money) - Bonds showed little movement in Monday's session, as a day with no scheduled economic reports led traders to look ahead to the impact of Friday's weaker-than-expected jobs report and a stronger stock market.

The dollar edged lower against the euro and the yen.

The benchmark 10-year note fell 1/32 of a point to 100-6/32, to yield 4.10 percent, up from 4.08 percent late Friday. The 30-year bond gained 1/32 of a point to 115-27/32 to yield 4.34 percent, unchanged from the previous session. Treasury prices and yields move in opposite directions.

In shorter-dated government debt, the five-year note shed 3/32 of a point to yield 3.90 percent, and the two-year note fell 1/32 of a point to yield 3.80 percent.

With no scheduled economic reports, traders keyed in on Friday's job report, which showed U.S. employers added 146,000 jobs in June. That figure was below the 195,000 jobs economists surveyed by Briefing.com had expected, but the numbers weren't soft enough to convince traders the Fed would halt its current measured pace of rate hikes.

Treasury prices also reflected a stock market which has shown resiliency in the face of last week's terror attacks in London and record-high oil prices.

The recent stock rally could signal to investors that the economic recovery is gaining ground, which could lead them to put their money in stocks rather than in safe-haven investments like bonds.

In currency trading, the dollar was slightly weaker against the euro and the yen.

The euro bought $1.2070, up from $1.1959 late Friday, while the dollar bought ¥111.82, down from ¥112.19 the previous session.

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