Yun Li, Silvia Amaro
The yield on the benchmark 10-year Treasury note, which moves inversely to price, fell to 2.48%, the lowest since May 1, while the yield on the 30-year Treasury bond was also lower at around 2.9163%.
“A flight to quality is to be expected if a U.S.-China trade agreement falls apart,” said Gary Pzegeo, head of fixed income at CIBC U.S. Private Wealth Management. “A reversal on trade at this point could trample any green shoots emerging in the global growth story and increase the risk of a broader pull-back that could engulf the U.S. and lead to lower Treasury yields.”
U.S. Markets Overview: Treasurys chart
|US 3-MO||U.S. 3 Month Treasury||2.426||-0.005||0.00|
|US 1-YR||U.S. 1 Year Treasury||2.392||-0.013||0.00|
|US 2-YR||U.S. 2 Year Treasury||2.307||-0.032||0.00|
|US 5-YR||U.S. 5 Year Treasury||2.293||-0.037||0.00|
|US 10-YR||U.S. 10 Year Treasury||2.50||-0.03||0.00|
|US 30-YR||U.S. 30 Year Treasury||2.908||-0.018||0.00|
Officials in Beijing are considering whether to back out of trade talks with the U.S. that were scheduled for this week. Both countries had indicated over the last weeks that they had made progress in their trade discussions.
In terms of auctions, there will be a sale of $75 billion in 13 to 26-week bills.