×

TREASURIES-Bonds supported on earnings worries, election uncertainty

TOKYO, Oct 12 (Reuters) - U.S. Treasuries were supported on Friday with the benchmark 10-year yield staying near this week's low on concerns about corporate earnings and uncertainty over the 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 of 1.666 percent.

* Investors are concerned companies may have to revise down their 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 in more than 4 1/2 years. . Yet Wall Street shares failed to recover from one-month lows on expectations of a weak earning season and uncertainty over November's U.S. election.

* Bonds are seen supported as investors also continue to fret over the euro zone's debt woes, even though Spanish bonds have stabilised after the European Central Bank prepared a safety net for Spain.

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

(Reporting by Hideyuki Sano; Editing by Sanjeev Miglani)

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

Keywords: MARKETS TREASURIES ASIA/