NEW YORK (CNNMoney.com) -- Treasurys fell Thursday as the government completed the last of three auctions this week totaling $74 billion and a recovery in the stock market undermined demand for the safety of U.S. debt.
"We had a large swing in the equity market and the Treasury market is waning a bit," said Dan Greenhaus, chief economic and bond strategist at Miller, Tabak and Co.
As prices fell, the yield on the 10-year rose to 2.75% from 2.62% late Wednesday. The yield on the 2-year note rose to 0.55% after falling to record low in the previous session.
The yield on the 30-year bond rose to 3.95% after the government sold $16 billion worth of the securities. The median yield at Wednesday's auction was 3.89%.
Investors submitted bids totaling $44.2 billion in response to the 30-year offering. The bid-to-cover ratio, a measure of demand, was 2.77, down from 2.89 at the last 30-year auction in July.
Indirect bidders, a category that includes overseas central banks, bought 45% of the 30-year bonds sold.
Demand at Wednesday's $24 billion sale of 10-year notes was strong, with an auction yield of 2.73%, the lowest since January 2009. That came after a well-received auction of $34 billion in 3-year notes on Tuesday.
Investors had flocked to the safety of U.S. debt on Wednesday as stock markets around the world plunged on worries about a global economic slowdown. The yield on the 2-year note fell to an all-time low of 0.52%, while the 10-year yield dropped to a fresh 15-month low of 2.68%.
Earlier this week, the Federal Reserve issued a cautious outlook for the economy and announced plans to reinvest proceeds from its portfolio of mortgage-backed assets into the Treasury market.
Overnight Avg Rate | Latest | Change | Last Week |
---|---|---|---|
30 yr fixed | 3.80% | 3.88% | |
15 yr fixed | 3.20% | 3.23% | |
5/1 ARM | 3.84% | 3.88% | |
30 yr refi | 3.82% | 3.93% | |
15 yr refi | 3.20% | 3.23% |
Today's featured rates:
Index | Last | Change | % Change |
---|---|---|---|
Dow | 32,627.97 | -234.33 | -0.71% |
Nasdaq | 13,215.24 | 99.07 | 0.76% |
S&P 500 | 3,913.10 | -2.36 | -0.06% |
Treasuries | 1.73 | 0.00 | 0.12% |
Company | Price | Change | % Change |
---|---|---|---|
Ford Motor Co | 8.29 | 0.05 | 0.61% |
Advanced Micro Devic... | 54.59 | 0.70 | 1.30% |
Cisco Systems Inc | 47.49 | -2.44 | -4.89% |
General Electric Co | 13.00 | -0.16 | -1.22% |
Kraft Heinz Co | 27.84 | -2.20 | -7.32% |
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