Wednesday, May 23, 2007

Treasury 10-Year Yield Touches Highest Level Since January on Fed Outlook

(Bloomberg) -- Treasury 10-year note yields rose to
the highest level since January as traders reduced the odds of an
interest rate cut by the Federal Reserve this year.

The 10-year note's yield was higher than that of the two-
year security for the first time in three weeks on signs of
resilience in the U.S. economy. Richmond Fed President Jeffrey
Lacker said yesterday it's the central bank's responsibility to
curb inflation and it would be a mistake to rely on slower growth
to stem price increases.


Read more at Bloomberg Bonds News

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