MARKETSCOPE: Treasury prices fell Monday fell as Ben Bernanke was nominated by President Bush to replace Alan Greenspan as Fed Chairman.
The 10-year note fell 14-32 to 98-16/32 for a yield of 4.44%. The 30-year bond sank 28/32 to 110-19/32 for a yield of 4.66%.
The Bernanke news, and growing optimism toward Q3 earnings, supported some shift out of bonds and into equities. Bond price weakness also reflected the perceived risk of any shift in monetary policy due to the changeover.