Wires

TREASURIES-Bonds supported on earnings worries, election uncertainty

Share

TOKYO, Oct 12 (Reuters) - U.S. Treasuries were supported onFriday with the benchmark 10-year yield staying near this week'slow on concerns about corporate earnings and uncertainty overthe U.S. presidential election.

* The yield on the 10-year notes stood at 1.679 percent, near its late U.S. levels and this week's low of1.666 percent.

* Investors are concerned companies may have to revise downtheir earnings outlook as they face slower global growth,despite pockets of strength in the U.S. economy.

* U.S. initial jobless claims fell to their lowest level inmore than 4 1/2 years. . Yet Wall Streetshares failed to recover from one-month lows on expectations ofa weak earning season and uncertainty over November's U.S.election.

* Bonds are seen supported as investors also continue tofret over the euro zone's debt woes, even though Spanish bondshave stabilised after the European Central Bank prepared asafety net for Spain.

* "The best time for the market is often when the centralbank is saying it will buy but it has not started buying.There's a chance Spanish bonds fall again," said a trader at aJapanese bank.

(Reporting by Hideyuki Sano; Editing by Sanjeev Miglani)

((hideyuki.sano@thomsonreuters.com)(+81 3 6441 1827)(ReutersMessaging: hideyuki.sano.thomsonreuters.com@reuters.net))

Keywords: MARKETS TREASURIES ASIA/

Related Tags