Bonds Lower

Treasuries fell Thursday as money moved into stocks and in reaction to stronger than expected Philly Fed data

Treauries fell as money moved into on stronger than expected Philadelphia Fed index data and a move into stocks, according to S&P Marketscope. Treasurys plunged on stronger than expected Philadelphia Fed index, which suggests stronger expansion in the region and contradicts the disappointing New York Fed survey out last week. Although the 6-month outlook index edged down to 27.5 from 29.8, the overall better-than-expected report suggests business activity shows continued strength. And that could put pressure on the Fed to tighten more aggressively, especially since Greenspan said he did not see any signs of stagflation emerging.

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