Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  News  >  Economy & Forex  >  All News

News : Economy & Forex

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance ProfessionalsCalendarSectors 
All NewsEconomyCurrencies / ForexCryptocurrenciesEconomic EventsPress releases

U.S. Government Bonds Slip On European Growth and Debt Supply

share with twitter share with LinkedIn share with facebook
share via e-mail
0
11/09/2017 | 06:27pm CEST
By Daniel Kruger 

U.S. government bonds declined alongside European sovereign debt after forecasts that growth in the euro region will be faster than previously expected.

The yield on the benchmark Treasury 10-year note rose to 2.343%, according to Tradeweb, from 2.325% Wednesday. Bond yields rise as prices fall.

The European Commission revised previous growth forecasts for euro-area economies, boosting its projection for economic output this year to 2.2% and by 2.1% in 2018, versus expectations for a 1.7% increase this year and 1.8% next year. That led investors to sell European government debt, with Treasurys falling in concert.

Anticipation of a $15 billion offering of 30-year bonds also weighed on prices for longer-term securities, as investors prepared for the new supply. The Treasury sold three-year notes on Tuesday and 10-year debt on Wednesday. The additional longer-term securities move may blunt some of the momentum that has built toward a flattening of the yield curve.

While the 10-year Treasury yield has fallen in the past two weeks from a recent high of 2.452%, shorter-term yields have been pushed higher as investors expect the Federal Reserve to continue raising interest rates at least through next year, and as the Treasury is planning not to extend the weighted average maturity of the additional debt analysts anticipate it will have to sell as the budget deficit begins to rise.

"We've had a huge flattening trade," said Larry Milstein, head of Treasury trading at R.W. Pressprich & Co. "A little bit of a reversal that's supply driven makes sense."

Write to Daniel Kruger at [email protected]

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news "Economy & Forex"
06:42aMINISTRY OF EMPLOYMENT AND ECONOMY OF REPU : Minister Tiilikainen announces the opening of the Finland Chamber of Commerce in India
PU
06:32aIMF must better police external imbalances - U.S. Treasury's Mnuchin
RE
06:07aUTAH FARM BUREAU : 11 Enviro-Facts About Farmers and Ranchers
PU
05:30aJapan concedes gap with Trump remains on trade framework
RE
05:13aAMERICAN HUSTLE : ZTE's Surprise U.S. Success, Now Under Threat -- Update
DJ
03:33aU.S. said to investigate AT&T, Verizon over wireless collusion claim
RE
03:27aWYFB WYOMING FARM BUREAU : “Top the Market” seminar May 17th
PU
03:27aAICD AUSTRALIAN INSTITUTE OF DIRECTORS : welcomes tougher penalties for serious corporate wrong-doing
PU
03:22aUPDATE 7 AND FINAL : Unified Command ends response efforts at Port William oil spill site
PU
03:17aANHUI TIANDA OIL PIPE : Notification
PU
Latest news "Economy & Forex"
Advertisement