Tuesday, 05 June 2007

Treasuries Pare Declines After Fed Chairman Bernanke Comments on Housing

(Bloomberg) -- U.S. Treasuries pared earlier declines
after Federal Reserve Chairman Ben S. Bernanke said a housing
slump may hurt the broader economy ``for somewhat longer than
previously expected.''

The comments brought some relief to the market after the
benchmark 10-year note's yield, moving inversely to its price,
touched a nine-month high. Stronger-than-forecast reports on
employment and business activity in the past week have prompted
some traders to bet on an interest-rate increase by the central
bank as soon as December.


Read more at Bloomberg Bonds News

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