MW: Treasurys stronger as equities pare recent gains
Treasury prices gained Monday, pushing yields lower, as U.S. stocks lost ground and reversed some of last week's gains, increasing the appeal of the relative safety of U.S. debt.
Ten-year note yields ) fell 7 basis points, or 0.07%, to 2.87%. Yields move in the opposite direction of bond prices.
Yields on 2-year notes fell 3 basis points to 0.88%.
The Treasury will announce how much in 5-year inflation-indexed securities it will sell on Thursday, though supply for the week is expected to be overshadowed by purchases of Treasurys by the Federal Reserve.
The Fed is scheduled to buy debt maturing in 2016 to 2019 on Tuesday, followed by purchases of 3- and 4-year securities on Thursday.
Also to come, an index on leading indicators is expected to decline slightly.
Treasury prices ended last week on a negative note, after earnings from General Electric and Citigroup topped expectations and consumer sentiment improved, all to the benefit of stocks.