Treasuries Snap Four-Week Decline on Fed Signals, Europe Outlook

Treasuries snapped a four-week slide after Federal Reserve meeting minutes suggested a weakening economy may lead to more stimulus measures and concern increased that progress toward resolving Europe’s debt crisis stalled.

Hedge-fund managers and other large speculators boosted futures wagers that 10-year notes will rise to the highest level since 2008, a week before Fed Chairman Ben S. Bernanke speaks at a Jackson Hole, Wyoming, conference where he previewed monetary stimulus programs the past two years. Yields declined even as the U.S. prepares to auction $99 billion in notes next week.