Economics
Treasury Yields Decline to Lowest Since 2012 Before Fed Meeting
- U.S. debt gains for fifth day, longest streak since February
- Probability of 2016 rate hike at 47% as Brexit vote looms
This article is for subscribers only.
Treasuries gained, with yields falling to the lowest since 2012, as traders wagered that the Federal Reserve won’t raise interest rates when it meets this week and investors sought safe havens before the U.K. votes on its European Union membership.
Benchmark 10-year notes rose for a fifth day, the longest winning streak since February, as futures traders ruled out any chance of a rate hike when the Fed concludes its two-day policy meeting Wednesday, showing the odds of an increase by December at 47 percent, down from 76 percent at the start of the month. Data due Tuesday will show retail sales growth slowed in May from a month earlier, according to a Bloomberg survey of economists.