Treasurys trade in tight range

Indications that the worst of the slowdown might be over keep the benchmark yield near a high for 2009, but supply woes put a blanket on prices.

EMAIL  |   PRINT  |   SHARE  |   RSS
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all RSS FEEDS (close)
By Ben Rooney and Catherine Clifford, staff writers

Bailout tracker
Follow the money: Bailout tracker
The government is engaged in a far-reaching - and expensive - effort to rescue the economy. Here's how you can keep tabs on the bailouts. More
Click the chart for current bond prices and yields.
What do you think of the government's efforts to keep Chrysler going?
  • It's doing what's appropriate
  • It should be working harder
  • It should do less and let Chrysler fold

NEW YORK ( -- Treasury prices held steady Thursday as investors weighed newfound optimism about the U.S. economy with a massive amount of supply headed to market.

The yield on the benchmark 10-year note hovered at 3.12% in late trade Thursday, matching the high for 2009 set Wednesday. The yield on the 10-year Treasury yield edged as high as 3.16% earlier in the session.

Bond prices and yields move in opposite directions. A high yield means that the price has fallen, indicating demand for the safe haven investment is waning.

A government report on Wednesday showed a wider-than-expected 6.1% drop in overall first-quarter economic activity. It also indicated that business inventories fell sharply while consumer spending rebounded, raising hopes that the worst of the decline is over and that firms will need to ramp up imports.

Meanwhile, the Federal Reserve bought another $3.025 billion of Treasurys Thursday as part of its plan to purchase $300 billion in government debt in an attempt to drive down interest rates. So far, the central bank has bought back almost $77 billion.

Still, the market remains concerned about the record amounts of supply coming as the government seeks to fund its economic stimulus and financial rescue plans.

Next week, the Treasury will offer $71 billion worth of 3-,10- and 30-year debt securities. The refunding comes after the government sold $101 billion in three separate auctions this week.

Bond prices: The benchmark 10-year note dipped 2/32 to 96 29/32, and its yield rose to 3.12%, even with late Wednesday.

The 30-year bond dipped 2/32 to trade at 90 25/32, and its yield rose to 4.04% from 4.03%.

The 2-year was up 3/32 at 99 29/30, and its yield ticked down to 0.92%.

The yield on the 3-month rose to 0.14% from 0.11%.

Meanwhile, lending rates were mixed. The 3-month Libor fell to 1.02% from 1.03% Tuesday, according to The overnight Libor was unchanged at 0.23%.

Libor, the London Interbank Offered Rate, is a daily average of rates that 16 different banks charge each other to lend money in London. To top of page

They're hiring!These Fortune 100 employers have at least 350 openings each. What are they looking for in a new hire? More
If the Fortune 500 were a country...It would be the world's second-biggest economy. See how big companies' sales stack up against GDP over the past decade. More
Sponsored By:
More Galleries
10 of the most luxurious airline amenity kits When it comes to in-flight pampering, the amenity kits offered by these 10 airlines are the ultimate in luxury More
7 startups that want to improve your mental health From a text therapy platform to apps that push you reminders to breathe, these self-care startups offer help on a daily basis or in times of need. More
5 radical technologies that will change how you get to work From Uber's flying cars to the Hyperloop, these are some of the neatest transportation concepts in the works today. More
Worry about the hackers you don't know 
Crime syndicates and government organizations pose a much greater cyber threat than renegade hacker groups like Anonymous. Play
GE CEO: Bringing jobs back to the U.S. 
Jeff Immelt says the U.S. is a cost competitive market for advanced manufacturing and that GE is bringing jobs back from Mexico. Play
Hamster wheel and wedgie-powered transit 
Red Bull Creation challenges hackers and engineers to invent new modes of transportation. Play

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.