Treasury prices fall as Europe debt worries ease

AP News
Posted: Sep 26, 2011 5:20 PM
Treasury prices fall as Europe debt worries ease

Treasury prices fell Monday after a pledge from European finance ministers to support that region's weak economies calmed markets around the globe.

The price of the benchmark 10-year Treasury note fell 65.6 cents for every $100 invested. The yield on the note rose to 1.90 percent from 1.84 percent late Friday. Bond yields rise when their prices fall.

European officials pledged over the weekend to take bolder steps to fight Europe's debt problems, which threaten to slow the global economy. Last week, indecision by European officials helped send the Dow Jones industrial average down 6 percent.

Jittery investors loaded up on U.S. government bonds, sending yields sharply lower. The yield on the 10-year note touched a record low of 1.71 percent last week.

The yield on the 30-year bond Monday rose to 2.99 percent from 2.90 percent late Friday. Its price fell $2.

The yield on the two-year Treasury rose to 0.23 from 0.22 percent. The three-month T-bill paid a yield of 0.04 percent, up from 0.01 percent Friday. Its discount wasn't available.