Tuesday, June 26, 2007

TREASURIES-Bond prices fall on profit-taking before auction

(Reuters) - NEW YORK, June 26 - U.S. Treasury debt prices
fell on Tuesday on profit-taking before an auction of new
two-year notes, despite unexpectedly weaker housing and
consumer confidence reports.




Government bonds have tapped flight-to-quality flows after
problems at two Bear Stearns' hedge funds renewed worries
about the subprime mortgage sector and traders said caution
was also creeping in before the Federal Reserve's two-day
meeting begins on Wednesday.


Read more at Reuters.com Bonds News

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