From mint · · 1m 20s
Treasuries Rise as Yields Drop
US Treasury yields fall after strong 30-year bond demand.
In brief
US Treasury yields fall after strong 30-year bond demand. US Treasury yields dropped to 5.61% as strong demand for 30-year bonds eased market pressure from Iran war concerns and oil prices. Originally reported by mint.
US Treasuries Rise
US Treasuries rose after an auction of 30-year debt drew solid demand as long-dated yields edge away from their highest levels in more than two decades.
Yields Drop to 5.61%
The gains sent yields lower across maturities on Thursday, with those on 30-year bonds down by six basis points to 5.61%, off their highest levels since 2002.
Strong 30-Year Auction
A $22 billion sale of the US government’s longest bond was met with good investor appetite, echoing this week’s strong 10-year auction.
Investor Reaction
‘Demand held up,’ said Molly Brooks, rates strategist at TD Securities. ‘It’s a good sign for those that want to dip their toes back in the long end.’
“‘Demand held up,’ said Molly Brooks, rates strategist at TD Securities. ‘It’s a good sign for those that want to dip their toes back in the long end.’”
Oil Prices Fall
Long-dated yields extended their declines as oil prices fell from an earlier peak around $105 per barrel.
Yield Pressure Eased
‘There was a lot of rumbling about potential pre-midterm strikes, so this takes some pressure off near-term oil,’ said Izaac Brook, US rates strategist at RBC Capital Markets.
“‘There was a lot of rumbling about potential pre-midterm strikes, so this takes some pressure off near-term oil,’ said Izaac Brook, US rates strategist at RBC Capital Markets.”
At a glance
US Treasury yields dropped to 5.61% as strong demand for 30-year bonds eased market pressure from Iran war concerns and oil prices.
