Bonds round-up: US treasuries edge higher
Conditions are a lot more sedate in the bonds markets today after yesterday's shake out.
In the US, the equity market rally has run out of steam, and demand for US treasuries has revived. The yield on the benchmark 10-year treasury note has slipped 4 basis points to 3.67%.
European government bonds are little changed, and look set to end the week lower than they started it for the first time in 2008, as the European Central Bank (ECB) continues to take a tough stance on interest rate cuts.
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European Union Monetary Affairs Commissioner Joaquin Almunia was reported as saying he sees no evidence of a looming recession in the EU region. Almunia's comments diminished hopes of the ECB following the Fed's example of rushing through rate cuts in the hope of stimulating the economy. The ECB has not changed its key lending rate for seven months.
In the UK, gilts eased a little, pushing the yield on the benchmark 10-year gilt up 2 basis points to 4.55%.
