RTRS: U.S. longer-dated Treasuries hold gains after CPI
NEW YORK, Nov 19 (Reuters) - Longer-dated U.S. Treasury debt prices held earlier gains on Wednesday after government data showed a bigger-than-expected October drop in consumer prices, supporting the view of easing inflation.
The headline reading of the Consumer Price Index, the government's broadest inflation measure, fell 1.0 percent, compared with analyst forecast of a 0.8 percent decline.
This followed a record 2.8 percent drop in the PPI in October.
Moreover, the CPI core rate, which excludes volatile oil and food prices, slipped 0.1 percent last month, compared with a 0.1 percent gain forecast by analysts.
The price on benchmark 10-year notes traded up 20/32, compared with a gain of 21/32 shortly before the release of the CPI report. Their yield, which moves opposite to price, was 3.46 percent, flat from the level before the CPI data and slightly lower than the 3.53 percent late on Tuesday. (Reporting by Richard Leong; Editing by Tom Hals)
