Markets & Finance

Treasuries Rally on Equity Slump


From Standard & Poor's Equity ResearchTreasuries rallied sharply on back of renewed concerns over the health of the financial sector due in part to a brokerage downgrade of Citigroup (C). These concerns were enough to more than erase the losses incurred yesterday after the FOMC indicated it would not easing monetary policy further without cause.

The 10-year note surged 31/32 to 103-07/32 for a yield of 4.32%. The 30-year bond skyrocketed 59/32 to 105-31/32 for a yield of 4.63%.

Treasuries benefited from an asset allocation shift today out of equities, which suffered very big losses. Price strength also likely reflected some position squaring ahead of the October labor report tomorrow morning, which is expected to show growth in nonfarm payroll jobs of 85,000. Elsewhere, oil and gold futures fell.


Toyota's Hydrogen Man
LIMITED-TIME OFFER SUBSCRIBE NOW

Sponsored Financial Commentaries

Sponsored Links

Buy a link now!

 
blog comments powered by Disqus