TREASURIES-Spain, growth worries propel bond prices

* Bidding at two-year note sale strongest in 11 months

* Moody's downgrades Spanish regions including Catalonia

* Longer-dated yields fall below 200-day moving average

* Wall Street tumbles, S&P falls to lowest in 7 weeks

NEW YORK, Oct 23 (Reuters) - U.S. Treasuries prices rose on Tuesday with 30-year bonds gaining over 1 point, as investor worries about Spain's fiscal woes and disappointing company earnings fed bids for low-risk government debt. Moody's Investors Service downgraded five of Spain's regions, including the heavily indebted Catalonia by one or two notches, citing those areas' limited cash and upcoming debt repayments. The downgrade undermined earlier optimism after Moody's upheld Spain's investment-grade rating last week.

As worries about euro zone's festering debt troubles returned to the forefront, some of the world's biggest multi-national companies such as DuPont and United Technologies posted disappointing quarterly results, prompting anxiety about a slowing global economy and its impact on future earnings. Concerns about global economic weakness and whether Spain would prolong Europe's debt crisis drew the market focus away from a two-day policy meeting of the U.S. Federal Reserve that began on Tuesday. Most economists expected no new policy initiatives from the Fed after it embarked on a third round of major bond purchases at their meeting just last month. Jittery investors dumped stocks, knocking the Standard & Poor's 500 index briefly to its lowest level in about seven weeks. As they shifted money into Treasuries, investors bid intensely for $35 billion of new two-year government debt , part of this week's $99 billion in coupon-bearing supply. ``People were moving to safety. You have bad earnings and the Spain downgrade,'' said Thomas Roth, executive director of U.S. government bond trading at Mitsubishi UFJ Securities USA in New York. Benchmark 10-year Treasury notes traded 15/32 higher in price with a yield of 1.762 percent, down 5.4 basis points from late on Monday. Thirty-year Treasury bonds traded 1-9/32 higher to yield 2.906 percent, down from 6.6 basis points from Monday. The 10-year and 30-year debt yields were below their 200-day moving averages of 1.806 and 2.935 percent, respectively, signaling technical support after last week's sell-off. Yields on shorter-dated maturities fell less than their longer-dated counterparts, even in the wake of a robust two-year note auction that fetched the strongest bidding since November. Large investment funds, smaller bond dealers and other direct bidders scooped up a record 38.2 percent of the two-year note offering, according to U.S. Treasury data. On the open market, two-year notes were up 1/32 in price, yielding 0.295 percent. The federal government will sell $35 billion of new five-year notes on Wednesday and $29 billion in new seven-year notes on Thursday. In ``when issued'' trading, the forthcoming five-year and seven-year issues were last quoted at 0.774 and 1.213 percent, respectively.