Treasury 10-year note yields traded at almost the lowest level this year as the U.S. prepared to sell $35 billion in two-year debt tomorrow, the first of three note auctions this week totaling $99 billion.
Treasuries declined for a fourth day, the longest losing streak since January, after initial claims for jobless benefits in the U.S. unexpectedly fell to a six-week low, spurring appetite for higher-yielding assets.
Treasuries slid, sending 30-year yields to the highest level since May, amid increased criticism of the Federal Reserve’s plan to stimulate growth and concern that a swelling U.S. deficit will lead to higher borrowing costs. U.S. stocks erased gains and the dollar rallied.
Treasury 30-year bond yields climbed the most in three years after Federal Reserve Chairman Ben Bernanke’s pledge to keep adding stimulus even as the economy improves spurred concern inflation will accelerate.
Treasuries dropped, pushing 10-year yields to the highest level in a month, as better-than-estimated corporate earnings damped the allure of Treasuries and sent yields higher at a $32 billion sale of three-year debt.
Treasuries rose, with 10-year notes gaining for a fifth day in their longest winning streak since April, as a jump in initial claims for jobless benefits boosted speculation the Federal Reserve will add to monetary stimulus.