- Europe Shares Seen Dropping on Spain Worries
- ECB Rejects Madrid Plan to Boost Troubled Bankia
- More Trump Birther Remarks Overshadow Romney
- Madrid in ‘Game of Chicken’ With EU
- Sun to Set on Commodities Super-Cycle: Morgan Stanley Strategist
- Most Aid Sent to Athens Circles Right Back to Europe
- Crisis-Battered Greek Banks Set for Weak Quarter
- Romney Clinches Republican 2012 Nomination in Texas
- The Upside to Asian Stock Declines? Better Dividends
- Apple CEO: Ping Failed, TV Gaming Interesting
- Why It’s Suddenly Exciting to Be a Yahoo Shareholder Again
- PB&J, Mac & Cheese Step Out From Kids-Fare Shadow
- Ackman: JCPenney Sales Have Hit 'Bottom'
- Goldman Investment Shines Light on Solar Power
- Facebook Options Soar on First Day
- Home Prices Hit Lows, But 'We See Signs of Hope'
- Auto Sales to Really Take Off This Summer?
- JPMorgan Debacle Points to Regulatory Incompetence, Corruption
MOST SHARED
- Sun to Set on Commodities Super-Cycle: Morgan Stanley
- Apple CEO: Ping Failed, TV Gaming Interesting
- Declines in Asian Bank, Property Stocks Yield Rich Dividends
- Asia’s Message to Europe: Bite the Bullet and Implement Reforms
- China's Sany Heavy to Raise $2 Billion in HK IPO
- Thaksin’s Return to Thailand Would Cause Conflict: Former Premier
- JPMorgan Implicated in Japan's Insider Trading Probe
- JPMorgan Dips into Cookie Jar to Offset "London Whale" Losses
- Home Prices Hit Lows, But 'We See Signs of Hope'
- Detroit: From Urban Blight to Tech Might
MOST POPULAR
HOT ON FACEBOOK
Treasurys Extend Gains After Strong 30-Year Auction
Text Size 
U.S. Treasury debt prices rose on Wednesday, extending their gains after a $13 billion auction of 30-year bonds drew strong bidding.
 |
The Treasury Department auctioned off $13 billion of 30-year bonds at a record low yield of 2.90 percent. The bid-to-cover ration, an indicator of demand, reached 3.05, compared with a recent average of just 2.65. It was the strongest level of demand for 30-year bonds since August 2000.
The sale was the third of seven auctions over an eight-session period, under which the Treasury is expected to move $177 billion of debt
![[cnbc explains]](http://media.cnbc.com/i/CNBC/Sections/News_And_Analysis/_News/_CNBC_EXPLAINS/_IMAGES/CNBC_explains_icon1.gif)
.
Investors often push for price concessions ahead of such auctions, but concern over contagion from a sovereign debt
crisis in Europe has maintained the bid for U.S. government debt.
"Euro zone issues continue to dominate the market, giving U.S. Treasurys an insatiable bid despite U.S. supply," said George Goncalves, head of U.S. interest-rates strategy at Nomura Securities International in New York.
Italy's funding costs reached a new euro-era record at auction Wednesday, piling pressure on the new Rome government after last week's EU summit failed to convince markets the bloc's debt crisis can be resolved.
Italy paid 6.47 percent to sell five-year notes just minutes after Germany placed 4 billion euros ($5.2 billion) of two-year bonds at an average yield of just 0.29 percent — a sign of how strongly cautious investors favor safety over returns.
Italian 10-year debt yields jumped back above 7 percent Wednesday. Yields above 7 percent are generally seen as unsustainable.
Benchmark 10-year Treasury notes Wednesday traded 18/32 higher in price to yield
1.90 percent, down slightly from 1.98 percent late Tuesday.
Yields briefly dipped to 1.91 percent, marking the lowest since Nov. 23.
After the bond auction, U.S. 30-year debt was trading 2-6/32 higher in price to yield 2.90 percent, down from 3 percent late Tuesday.
- The economy is relatively resilient but there are some decisions that could hurt, says this analyst.
- To escape taxes or political uncertainty, millionaires and billionaires are migrating like never before.
- Some places are kinder than others when it comes to selling homes, as these cities seem to be.
- Here are the 15 publicly traded stocks, by value, that are the biggest holdings of Berkshire Hathaway.
- Some restaurants are taking kid favorites like peanut butter and jelly and turning them into adult fare.
- What we have here are the 10 richest counties in America, according to the average income.
Data is a real-time snapshot *Data is delayed at least 15 minutes
