Treasury rates edge up after a steep fall

AP News
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Posted: Nov 25, 2011 2:56 PM
Treasury rates edge up after a steep fall

Treasury yields are edging up in thin trading after a steep fall over the past week.

In a short trading session Friday, the yield on the benchmark 10-year Treasury rose to 1.97 percent from 1.89 percent late Wednesday. U.S. bond markets were closed Thursday for the Thanksgiving holiday.

The price of the 10-year Treasury, which moves inversely to the yield, fell 75 cents per $100 invested.

As new troubles emerge in Europe's debt crisis, traders have been dropping European government debt and buying U.S. Treasurys. That has pushed up borrowing costs for governments in Spain, Italy and even in France, while keeping U.S. interest rates near record lows.

In other trading, the yield on the 30-year bond rose to 2.92 percent from 2.84 percent. Its price fell $1.71 per $100.