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Treasuries End Higher

Treasuries, which traded in a narrow range for most of the day, rallied late in the session on terrorism fears. According to news reports, an Internet statement bearing the name of Al-Qaeda warned that Western airlines will be targeted for terrorist attacks and told Muslims to stay away from Westerners.

Treasuries rose even despite widespread talk about inflation becoming a problem. The market, which will be closed Friday for former President Reagan's funeral, has discounted a 25-basis-point Fed rate hike at the June 30 FOMC meeting.

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