Bonds Lower

Treasuries closed lower on Wednesday after the Fed Chairman's comments on interest rates, and an unexpected rise in January housing starts, according to S&P's Marketscope. Treasuries plunged after Greenspan called the level of long-term rates a "conundrum", according to Informa. Greenspan also suggested that getting fed funds rates to "neutral" may be longer than what the Street anticipated. The yield on the 10-year treasury, which moves in the opposite direction of price, rose to 4.16%.