Bloomberg News

Treasuries Drop as China Plans to Help Solve Euro Debt Crisis

February 14, 2012

Feb. 15 (Bloomberg) -- Treasuries fell for the first time in four days after People’s Bank of China Governor Zhou Xiaochun said China will participate in solving Europe’s debt crisis, reducing demand for haven assets.

“China could make Europe’s problems go away,” said Peter Jolly, head of market research at National Australia Bank Ltd. in Sydney. “They have the funds. To the extent that China will participate in the European solution, it takes away some of the flight to quality in Treasuries.”

Ten-year yields rose two basis points to 1.96 percent as of 12:01 p.m. in Tokyo, according to Bloomberg Bond Trader prices. The 2 percent security due February 2022 declined 6/32, or $1.88 per $1,000 face amount, to 100 3/8.

--Editors: Jonathan Annells, Garfield Reynolds

To contact the reporter on this story: Wes Goodman in Singapore at wgoodman@bloomberg.net

To contact the editor responsible for this story: Rocky Swift at rswift5@bloomberg.net


American Apparel's Future
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

 
blog comments powered by Disqus