Submitted by Fox First at Ten on September 12th
By The Associated Press
U.S. Treasury prices dived Wednesday after an auction of 10-year notes drew very weak demand, signaling a lack of appetite for ultra-safe investments.
The Treasury Department auctioned $21 billion of 10-year notes to yield 1.764 percent. Similar notes traded on the open market at the time fetched 1.755 percent, according to data from CRT Capital Markets, a money management and research firm.
The higher bond yield reflects weaker demand. Compared with recent auctions, there were fewer dollars bid for every note sold, CRT said.
The price of the note slid after the auction. It declined 43 cents for every $100 invested, pushing the note's yield up to 1.76 percent late Wednesday from 1.70 percent late Tuesday.
The price of the 30-year Treasury bond fell $1.25 per $100 invested, pushing its yield up to 2.92 percent from 2.85 percent late Tuesday.
The yield on the two-year Treasury note fell to 0.25 percent from 0.26 percent.
The yield on the three-month Treasury bill was unchanged at 0.10 percent.
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