Posted on 07/01/2010 11:31:06 AM PDT by traumer
NEW YORK (Dow Jones)--Prices of longer-dated Treasurys rose Thursday after an unexpected increase in jobless claims added to concern about the economic outlook, bolstering demand for safe assets.
The 30-year bond led the buying, sending its yield down to 3.858%, the lowest level in more than a year.
As of 8:45 a.m. EDT, the benchmark 10-year note was 5/32 higher to yield 2.935% and the 30-year bond was 16/32 higher to yield 3.883%.
In its weekly report Thursday, the Labor Department said the number of U.S. workers filing initial claims for jobless benefits increased by 13,000 to 472,000 in the week ended June 26. The previous week's level was revised upward as well, from 457,000 to 459,000.
Economists surveyed by Dow Jones Newswires had expected claims would fall by 2,000.
The report came just one day ahead of the key non-farm payroll report which many economists have forecast to show a drop in employment in June.
"Deflationary forces and re-evaluation of a weaker than expected economic recovery is forcing rates lower," said Tom di Galoma, head of U.S. rates trading at Guggenheim Partners in New York.
Bond prices were already up overnight as a report showing China's manufacturing sector expanded at a slower pace for a second month raised concern that the country, a major engine of the world economy, could lose traction in the second half of the year. The report spurred broad-based selling in stocks and sent the 10-year Treasury yield to touch 2.902%, the lowest level since April 2009.
China's Purchasing Managers Index fell to 52.1 in June from 53.9 in May, the second consecutive month that expansion has slowed. A reading above 50 indicates an expansion in manufacturing activity.
Treasurys pared gains during European session following a successful five-year government bond auction by Spain.
(Excerpt) Read more at online.wsj.com ...
More unexpected bad news.
Sooooooooooo sick of this administration and their "unexpected rise" comments.........IMPEACH IMPEACH IMPEACH IMPEACH
Banks CD rate 1%, Treasuries near 4%. Looks like that’s where banks are putting their dough.
I’m getting tired of seeing “unexpected” every time
the policies of the socialist regime return more
bad economic results. It is completely expected.
Socialism always fails.
No kidding.
What the sam hill are these media type trying to pull?
Unexpected rise?
I fully EXPECT it to hit 12% before the fall elections. If it doesn’t, then THAT will be unexpected and good news.
And if it does it 12% which wouldn’t surprise me, HUSSEIN will claim that.....they should be thanking me, it could be worse - unemployment could be 15%.........
And if it does hit 12% which wouldn’t surprise me, HUSSEIN will claim that.....they should be thanking me, it could be worse - unemployment could be 15%.........
And if it does hit 12% which wouldn’t surprise me, HUSSEIN will claim that.....they should be thanking me, it could be worse - unemployment could be 15%.........
YIKES triple post
I was just contemplating the same things.
It is not unexpected and we should all make an effort to target these journalist spreading the propaganda.
DRINK!
The local Walmart was empty on a Tuesday night at 5:30 P.M.
That’s pretty bad.
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REally it way past time to start calling them out on the propaganda.
Another unexpected day in “Recovery Summer”.
Check tonight or tomorrow night. First of the month. The welfare checks will be arriving. The skating rink in Chula Vista will have armed rent-a-cops providing security for the next 3 nights as the welfare moms dump the kids there for entertainment. The inside of the rink will be wall to wall black folks. It will be nearly impossible to actually skate more than a couple feet. If you wait until the following weekend, it will be back to the "regular" rink rats. I learned those details the hard way. The staff graciously cut me a "rain check" to return the following week. It was impossibly crowded.
To Barry cohorts it’s truly unexpected. They’re all just that garden variety stupid. They voted for him after all. They purport to be so cosmopolitan but have no clue just how terribly communism has ravaged countries where it took root. LOL, in short they’re stuck on stupid.
What they mean by “unexpected” is that the final number is less than economists and market research organizations expected (they usual post estimates before hand).
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