BLBG:Treasuries Gain as Greek Debt Talks Spur Demand for Safety of U.S. Bonds
Treasuries advanced as Greece struggled to reach an agreement on budget-cutting measures needed to get an international bailout and avoid an economic collapse, boosting demand for the safest assets.
Thirty-year Treasuries rose for the first time in four days as European leaders insisted that Greece accept terms demanded by international lenders before signing off on a second aid package. The U.S. plans to auction $32 billion of three-year notes tomorrow, $24 billion of 10-year debt the following day and $16 billion of 30-year bonds on Feb. 9.
The 10-year note yield dropped two basis points to 1.91 percent at 9:12 a.m. London time, according to Bloomberg Bond Trader prices. The 2 percent security due in November 2021 rose 5/32, or $1.56 per $1,000 face amount, to 100 27/32. The yield climbed to 1.95 percent on Feb. 3, the most since Jan. 27. The record low was 1.67 percent set Sept. 23.
The rate on 30-year bonds also fell two basis points, to 3.10 percent.
The yield on 10-year German bonds declined seven basis points to 1.86 percent.
To contact the reporter on this story: Anchalee Worrachate in London at aworrachate@bloomberg.net
To contact the editor responsible for this story: Daniel Tilles at dtilles@bloomberg.net
