Tuesday, July 17, 2007

U.S. Treasuries Rise; Bear Stearns Subprime Losses Feed Demand for Safety

(Bloomberg) -- U.S. Treasury notes rose as losses
at hedge funds run by Bear Stearns Cos. fed demand for the
relative safety of government securities.

Ten-year yields declined to the lowest in a week after Bear
Stearns told investors in one of its funds that they won't get
their money back. The yields have fallen 29 basis points from a
five-year high on June 13 as hedge funds incurred losses on
subprime debt and Moody's Investors Service and Standard &
Poor's cut ratings on the bonds.


Read more at Bloomberg Bonds News

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