Treasury 30-year bonds advanced before a $16 billion sale of the securities as investors sought the safest assets amid concern the euro region’s debt crisis isn’t yet resolved.
Treasuries rose, pushing yields toward a three-week low, as stock losses and violence in Libya bolstered demand for the safest assets.
Treasuries headed for a third weekly gain before a U.S. report that economists said will show manufacturing grew at the slowest pace in 10 months in September.
U.S. five-year notes led the Treasury market toward a monthly gain before a Commerce Department report that analysts said will show U.S. economic growth slowed in the second quarter.
"I do not think investors will just keep buying bonds thinking it's the end of the world."
- Satoshi Okumoto on Oct 16, 2014