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21 Apr 2015
US Treasury yields weaken ahead of the auction
FXStreet (Mumbai) - The yield on the long duration treasury yields dipped on Monday, while those on the short duration stayed relatively resilient ahead of the 4-week bill auction in the US.
The 10-year yield in the US fell 1.8 basis points to 1.879%, while the 30-year yield fell 2.3 basis points to 2.55%. Meanwhile, the 2-year yield trades largely unchanged at 0.528%. The yields had shot higher in the previous session, especially at the long-end of the curve after China announced a cut in the reserve requirement ratio. The safe haven treasury prices fell amid gains in the US equity markets.
Meanwhile, interest rates on short-term Treasury bills were mixed in Monday's auction. The Treasury Department auctioned USD 24 billion in three-month bills at a discount rate of 0.025%, the same as last week. Another USD 24 billion in six-month bills were auctioned at a discount rate of 0.09%, down from 0.105% the previous week.
The 10-year yield in the US fell 1.8 basis points to 1.879%, while the 30-year yield fell 2.3 basis points to 2.55%. Meanwhile, the 2-year yield trades largely unchanged at 0.528%. The yields had shot higher in the previous session, especially at the long-end of the curve after China announced a cut in the reserve requirement ratio. The safe haven treasury prices fell amid gains in the US equity markets.
Meanwhile, interest rates on short-term Treasury bills were mixed in Monday's auction. The Treasury Department auctioned USD 24 billion in three-month bills at a discount rate of 0.025%, the same as last week. Another USD 24 billion in six-month bills were auctioned at a discount rate of 0.09%, down from 0.105% the previous week.