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 ...
I meant to say less than or more than, as the case may be.
My wife can’t shop the first three days of the month. The groceries are packed with foodstamp recipients loading up. Later in the month, deserted.
We have another pattern on top of the welfare
checks at the start of the month. The local LDS
community tries to get all their shopping done
on Saturday. The parking lots are packed. On Sunday,
they are relatively empty.
Are you the “fat finger” that tanked the market last month?
Taxes
Fees
Environmental regulations
Hiring regulations
Healthcare mandates
OSHA/Disability/Workmen’s Comp requirements
Minimum wage requirements
Union pressures
Why start a small business under Obama? It makes no sense.
This is the plan.
Kill the entrepreneur so there is no profit margin by design and every area will look like East Oakland or Detroit.
They want to destroy the American way of life by ushering in a creeping Socialism that bureaucrats are the new Mandarins.
Screw Obama, that Commie.
Expect a change in the news, and a rise in the market, right around July 8, when the Feds are selling a boatload of 30 year bonds. This bad news, then a flight to “quality” thing has happened with regularity this year. I’m sure it’s just coincidence, though.
“Economists surveryed predicted.....”
Sounds like the old joke about the Soviet Union:
“They pretend to pay us & we pretend to work”.
The local Walmart was empty on a Tuesday night at 5:30 P.M.”That’s pretty bad.”
Especially when the Laker’s games are done for the season.......
shhhhhhh! don’t tell anyone!
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