MW: Treasurys up on election day, before Fed meeting
By Deborah Levine
NEW YORK (MarketWatch) -- Treasury prices rose modestly on Tuesday, pushing yields down, as Americans cast votes that are expected to change the balance of power in Washington D.C. No major U.S. economic reports are scheduled for the session. "A shift in power could be viewed by the risk market as favorable -- taking the bid away from Treasurys," said strategists at Nomura Securities. "If there is a sense that there will be more fiscal help or eventual clarity on the tax code, the Fed might not need to go as heavy on servings of [quantitative easing] in the months ahead." Also Tuesday, the Federal Reserve begins its two-day meeting. Investors expect officials to announce a major bond-buying program at the end of the meeting. Yields on 10-year notes (UST10Y 2.61, -0.02, -0.61%) , which move inversely to prices, fell 1 basis point to 2.61%.
