US bonds pare some losses ahead of 7-year auction
Thursday, 25 September 2014
US government bonds recovered some of Wednesday's losses on Thursday, ahead of a Treasury auction of seven-year notes. The Treasury will sell $29 billion in seven-year notes during the afternoon. Recent auction performance in the seven-year sector has been weak and comes after a disappointing 5-year sale on Wednesday that saw notes of different durations fall. Seven-year notes traded to yield 2.25 per cent ahead of Thursday's auction. Benchmark 10-year notes yielded 2.55 per cent, down from a close of 2.57 per cent on Wednesday, but still higher than Tuesday's close of 2.53 per cent. There will also be more speeches from the Federal Open Market Committee (FOMC) on Thursday. Atlanta Fed President Dennis Lockhart, who will be a voting member of the FOMC next year, will give a keynote speech at a conference on enterprise in Mississippi, according to cnbc.com