Thursday, 21 February 2013 11:01
SINGAPORE: US 10-year Treasuries inched higher in Asia on Thursday, but its gains were limited even as weakness in equities stirred some safe haven bids for bonds.
- Ten-year notes edged up 1/32 in price to yield roughly 2.007 percent, steady from late US trade on Wednesday.
- US Treasuries had risen on Wednesday as a fall in stock prices rekindled investors' appetite for less risky assets.
The S&P 500 index posted its biggest one-day fall in three months on Wednesday after minutes of the Federal Reserve's January meeting showed that a number of Fed officials think the central bank might have to slow or stop buying bonds before seeing the pickup in hiring the programme is designed to deliver.
- Gains in Treasuries over the past couple of days seem tepid relative to the sell-off seen in risky assets, said Satoshi Okagawa, senior global markets analyst for Sumitomo Mitsui Banking Corporation in Singapore.