U.S. government bonds declined on Friday, as better-than-expected U.S. third quarter growth hit demand for "safe haven" assets.» Read More
Major rating agencies are holding off downgrading bond insurers MBIA and Ambac Financial Group while they attempt to work out a bailout plan, bankers working on the bailout told CNBC.
Bond insurers, whose foray into the subprime debt market has led to billions of dollars in losses, are facing more downgrades of their prized Triple A rating.
Wall Street bond rating agencies are poised to downgrade two big bond insurers, Ambac Financial Group and MBIA, even though New York state insurance regulars would like to get a postponement until the state can develop a bailout package, CNBC has learned.
Hedge Fund manager William Ackman, of Pershing Square Capital, is submitting data to the SEC and insurance regulators in New York State alleging that bond insurers MBIA and Ambac are understating their losses.
Short-dated Treasury bond prices pared losses and briefly turned positive after the Federal Reserve cut interest rates by 50 basis points, while longer-dated bonds extended losses in an inverse move to higher stocks.
U.S. government bond prices retreated Tuesday as a rebound in durable goods orders contrasted with weakness in other parts of the economy, complicating the Federal Reserve's interest rate-slashing campaign.
Officials with the New York State Insurance Department have reached out to Wall Street bond rating agencies to suggest that they postpone a downgrade of bond insurers until the state can develop a bailout package for the troubled sector, CNBC has learned.
Treasury prices threw off early weakness and advanced Friday after a rumor that another hedge fund is in financial trouble circulated through trading rooms.
Treasury prices declined Thursday as the stock market extended a lively rebound into a second session.
Treasurys gave back much of a vigorous rally in late trading Wednesday when a sagging stock market suddenly regained strength and stopped the flow of money into bonds.
U.S. Treasurys surged on Tuesday after an emergency interest rate cut by the Federal Reserve met with limited success in staunching a sell-off in stocks and helped extend a safe-haven bid for government debt.
U.S. Treasuries shot up on Tuesday, pushing the benchmark 10-year yield to a 4-1/2-year low after a dramatic sell-off in stock markets around the world carried over into Asia on escalating fears that the U.S. economy is heading for a recession.
Short-dated U.S. government bonds rose Friday as stocks turned negative on investor fears a White House stimulus package might not keep the economy from sliding into recession.
Treasury debt prices eased on Wednesday as investors cashed in on a string of gains while stocks tried to find a footing after posting severe losses earlier in the week.
Treasurys rallied on Tuesday as a drop in Christmas sales and Citigroup's first ever quarterly loss sent stocks sharply lower, rekindling investors' penchant for safety.
Treasury debt prices rose slightly Monday as a rebound on Wall Street was offset by expectations of aggressive interest rate cuts by the Federal Reserve and forecasts of a possible recession.
Treasurys rose Friday with yields falling to their lowest levels since 2004, prompted by renewed fears of a recession and growing certainty of a hefty interest rate cut this month from the Federal Reserve.
Short-dated Treasury debt prices rose Thursday after Federal Reserve Chairman Ben Bernanke's remarks solidified expectations the Fed would aggressively pare interest rates to forestall a recession.
Treasurys were mixed Wednesday but off earlier lows, buffeted by a stock market struggling to rebound from its worst new year start in history on persistent recession worries.
Treasurys were weaker Tuesday but off their lows as traders skipped back and forth between stocks and bonds on worries about a recession induced by the prolonged deterioration in the housing market.