NEW YORK (AP) — Bond investors appeared unwilling to be thrown around by conflicting signals from the Federal Reserve over whether the central bank will act soon to help spur the U.S. economic recovery.
Treasury prices barely budged Friday. The yield on the benchmark 10-year Treasury remained virtually unchanged from Thursday at 1.68 percent. Its price was down 3 cents for every $100 invested.
Fed Chairman Ben Bernanke suggested in a letter to a congressman that there was room for the central bank to do more to help the economy. It came after a regional Fed president cast doubt on the idea.
Earlier in the summer, when fears over the European debt crisis escalated, investors stocked up on Treasurys, sending their yields sharply lower. On July 24, the 10-year Treasury note hit a record low of 1.39 percent.
However, Treasurys reversed course early in August after a better-than-expected monthly jobs report. It was followed by improving retail sales and a better housing picture, which led more investors to abandon Treasurys.
The yield on the 10-year Treasury rose sharply in the past month from 1.39 percent to as much as 1.84 percent.
But this week, the yield receded again after investors came back to buy Treasurys. Concerns over Europe and the global economy resurfaced.
On Friday, the Greek prime minister met with his German and French counterparts to discuss Greece's bailout. Prime Minister Antonis Samaras said Greece needs "time to breathe" while it implements spending cuts that Germany is demanding.
In other trading, the 30-year Treasury bond was up 3 cents for every $100 invested. Its yield was almost unchanged at 2.79 percent.
The yield on the two-year note rose to 0.27 percent from 0.26 percent. The three-month T-bill fell to 0.09 percent from 0.10 percent.