Treasury Prices Rise
MARKETSCOPE : Treasury bond prices rose on Friday.
The 10-year Treasury notes rose 01/32 to 100-19/32 for yield of 5.06%, while the 30 year bonds rose 12/32 at 90-12 for yield of 5.14%.
Action Economics says dramatic curve flattening was already underway from recent asset allocation swings into the long-end. At a Bond Market Association meeting, Treasury Undersecretary Quarles warned participants against "large positions," or else he said they face regulatory scrutiny.
Market players continued watching interest rates and wondering how much more the Federal Open Market Committee will raise them in the coming months. The federal funds rates currently stand at 5%.