Treasuries Finish Higher

Treasuries rebounded on a supply surge and mounting geopolitical risks, which fueled a safety bid

A number of factors were at work boosting Treasury prices higher on the day. Though the day began quietly as traders awaited President Bush's economic stimulus package, action quickly picked up as a flood of corporate/agency issuance swept through market. The paper weighed on Treasuries, especially the belly of the curve, early on. But the rate-lock unwinds soon proved to be a catalyst for bond gains.

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