Summary Box: Traders pull back on Treasury bets

AP News
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Posted: Oct 27, 2010 4:47 PM
Summary Box: Traders pull back on Treasury bets

YIELDS UP: Fears the Federal Reserve will launch a bond buying program that's less ambitious than traders expected pulled Treasury prices down and yields up. The 10-year yield reached 2.72 percent, up from 2.51 percent at the start of October.

MORE SUPPLY: The Treasury sold $35 billion in five-year notes Wednesday at a 1.33 percent yield, slightly higher than the rate received last month.

DEMAND DIPS: Bond buyers placed bids for 2.82 the amount offered, the weakest show of demand since June. This bid-to-cover ratio is still above the past year's average.