Wednesday, June 20, 2007

U.S. Treasury Yields Trade Near Lowest in Two Weeks on Housing Slowdown

(Bloomberg) -- U.S. 10-year Treasury yields traded
near a two-week low on expectations a housing slowdown will keep
the Federal Reserve from raising interest rates.

The benchmark notes headed for a fourth day of gains, the
longest advance since February, before a private report on home-
loan applications due today. Bonds rose yesterday, pushing 10-
year yields down 5 basis points, after the Commerce Department
said house construction declined for the first time in four
months in May because of higher mortgage costs.


Read more at Bloomberg Bonds News

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