20 Jan 2015
Treasury yields decline as US stocks weaken
FXStreet (Mumbai) - The Treasury prices in the US gained strength, pushing the yields lower after the stock markets in the US failed to sustain early gains and dipped into the red.
At the time of writing, the 10-year treasury yield was down 2.4 basis points to 1.791%, while the 30-year yield fell 4 basis points to 2.3975. Meanwhile, the 2-year yield weakened 1.3 basis points to 0.467%. The yields came under pressure as the stock markets in the US dipped into the red, thereby pushing the safe haven treasury prices up.
The DJIA fell from a high of 17,583.50 to trade 0.33% lower at 17,456.50 levels. Meanwhile, the S&P index fell from a high of 2029.50 to trade 0.16% lower at 2016.20 levels. Moreover, the weakness in the US equities dragged the European equities lower. The German Dax has pared gains to trade just 0.03% higher for the day. Meanwhile, the London’s Ftse has eased-off to trade 0.39% higher at 6611 levels.
The Treasury yields may extend slide if the US equity markets extend losses during the day ahead. Meanwhile, the yields are also likely to come under pressure as markets expect the European Central Bank to announce a sovereign QE program later this week.
At the time of writing, the 10-year treasury yield was down 2.4 basis points to 1.791%, while the 30-year yield fell 4 basis points to 2.3975. Meanwhile, the 2-year yield weakened 1.3 basis points to 0.467%. The yields came under pressure as the stock markets in the US dipped into the red, thereby pushing the safe haven treasury prices up.
The DJIA fell from a high of 17,583.50 to trade 0.33% lower at 17,456.50 levels. Meanwhile, the S&P index fell from a high of 2029.50 to trade 0.16% lower at 2016.20 levels. Moreover, the weakness in the US equities dragged the European equities lower. The German Dax has pared gains to trade just 0.03% higher for the day. Meanwhile, the London’s Ftse has eased-off to trade 0.39% higher at 6611 levels.
The Treasury yields may extend slide if the US equity markets extend losses during the day ahead. Meanwhile, the yields are also likely to come under pressure as markets expect the European Central Bank to announce a sovereign QE program later this week.