MARKETSCOPE : Treasury bond prices continued to rally on Friday.
The benchmark 10-year Treasurys were up 11/32 to 98-29/32 for yield of 4.392%, after breaking through resistance levels. Options were expiring on futures investments, among other things.
Meanwhile investors were watching Hurricane Wilma hitting Cancun, Mexico. The storm is expected to veer toward Florida -- not toward the offshore Louisiana and Texas oil rigs that are currently recovering from damage caused by Hurricanes Katrina and Rita. Energy prices can impact inflation.
Fed presidents this week have warned that the central bank needs to be vigilant against inflation. The Federal Open Market Committee has already raised lending rates 11 times since 2004, a move that impacts the debt markets by making borrowing more expensive.