Bond prices jump on real estate weakness
Treasury prices take biggest jump in two weeks after government report shows new home sales declined to a 12-year low in November.
NEW YORK (CNNMoney.com) -- Bond prices jumped the most in two weeks after a report showed new home sales tumbling.
The price of the benchmark 10-year note rose nearly a full point, 31/32, to 101 8/32, yielding 4.09 percent, down from 4.21 percent Thursday.
The 30-year's yield fell to 4.52 percent from 4.63 percent in the previous session
The yield on the 2-year fell to 3.14 percent, from 3.22 percent in the prior session. The yield on the 5-year was 3.54 percent, down from 3.60 percent Thursday.
On Thursday Treasury prices had also rallied as news of the assassination of Pakistani opposition leader Benazir Bhutto startled markets and sparked demand for safe assets.
In economic news, sales of new homes plunged even more than expected to their lowest level in more than 12 years, leaving the market glutted with unsold homes and pointing to more trouble ahead for the battered housing market.