Bonds round-up: Bonds give way to equities
Government bonds lost ground today, with equities back in favour.
US treasuries fell after the Institute for Supply Management's non-manufacturing index put in a stronger showing than expected, rising to 49.3 in February from 44.6 in January.
The slide cancelled out earlier gains seen in the wake of a payroll data report which showed US companies chopped 23,000 jobs in February, the first monthly fall in nigh on five years.
The yield on the benchmark 10-year treasury note rose basis points to 3.67%.
UK and European bonds also fell back ahead of interest rate decisions tomorrow by the Bank of England and the European Central Bank.
(Article continues below)Advertisement
Retail sales in the euro zone rose more than expected by 0.4 in January, while the services sector Purchasing Managers Index for January was confirmed at 52.3, unchanged from the provisional figure and higher than the 50.6 reading for December.
The yield on the benchmark 10-year bund rose 6 basis points to 3.86%.
Meanwhile the UK Purchasing Managers Index for the service sector rose for the third month in succession to 54.0 in February from 52.5 in January. The input and the output pricing components of the index both climbed to new highs, providing yet more evidence of inflationary pressure.
The yield on the benchmark 10-year gilt rose to 4.48%, up 7 basis points.
