Treasurys edge higher as stock market swoons

AP News
Posted: May 11, 2012 4:56 PM
Treasurys edge higher as stock market swoons

Treasury prices rose Friday as investors seek shelter from another messy day in the stock market.

The yield on the benchmark 10-year Treasury note is 1.85 percent in late trading, down from 1.89 percent late Thursday. Its price rose 19 cents for every $100 invested.

Stocks opened weaker, led down by bank shares, after JPMorgan surprised investors by reporting a rare miss: a $2 billion trading loss, which could get worse. The market was mixed for much of the day but ended mostly lower. The Dow Jones industrial average and the Standard & Poor's 500 index both closed down 0.3 percent.

Investors are also still nervous because Greece has yet to put together a coalition government following inconclusive elections last weekend. Radical politicians there want to denounce the country's financial bailout agreement, which could force the country to leave the euro.

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In other trading, the yield on the 30-year bond fell to 3.02 percent from 3.06 percent. Its price rose 72 cents.

The yield on the two-year note edged down to 0.26 percent from 0.27 percent. The yield on the three-month T-bill was 0.09 percent.