U.S. government debt prices whipsawed on Wednesday after the Treasury Department gave no clues about whether it will issue longer-dated bonds.
The yield on the benchmark 10-year Treasury notes sat slightly higher at 2.255 while the yield on the 30-year Treasury bond was lower at 2.843 percent as of 12:00 p.m. ET. Bond yields move inversely to prices.
The Treasury said it will borrow $96 billion in the third quarter and has begun to consider how it will increase debt issuance later in the year to make up for a future decline in Federal Reserve bond purchases. It gave no further immediate information on its consideration of introducing ultra-long bonds.
Treasury yields briefly fell after the Treasury Department's announcement.
"There was a refunding decision at 8:30. [The Treasury Department] didn't' say they were issuing an ultra-long bond … On the margin I think people were anticipating we might get something more in terms of a treasury long bond. But they just put that off," said Ian Lyngen of BMO.