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Treasury yields extend fall after solid sale for $24 billion of 10-year notes

Sunny Oh

U.S. government bond yields added to their decline after the U.S. Treasury Department's auction of $24 billion of 10-year notes drew strong demand. The 10-year note yield fell 3 basis points to 2.611%, while the 2-year note yield fell 2.2 basis points to 2.455%. The 30-year bond yield slipped 3.2 basis points to 3.000%. Bond prices move inversely to yields. Successful debt auctions can boost prices for government paper, and send yields lower. The auction "stopped through" 0.8 basis points at 2.615%, below where the market was trading at the time. Analysts say an auction "stopping through" shows the fresh supply was well-received. This comes after a weaker-than-expected core consumer prices index reading initially sparked a Treasurys rally on Tuesday.