TREASURIES-U.S. Treasury prices rise modestly in low liquidity trading session

(Refund, add quote, update prices) By Davide Barbuscia NEW YORK, Nov 25 (Reuters) – U.S. Treasury bond prices fell on Friday. Treasury yields, which move inversely to prices, fell on Wednesday after minutes from the US Federal Reserve’s November meeting showed most policymakers agreed it would soon be appropriate to slow the pace of rate hikes interest rates while the central bank continues to struggle for decades. inflation But on Thursday, a US holiday, European Central Bank board member Isabel Schnabel rejected calls from many of her colleagues for the ECB to raise rates smaller, saying that could hamper efforts to reduce inflation. . German bonds sold off on Friday, with yields on 10-year German bonds, seen as a benchmark for the EU currency bloc, up about 12 basis points. This has transpired globally, said Matthew Miskin, co-chief investment strategist at John Hancock Investment Management. “Europe continues to have a huge influence on the US Treasury bond market,” he said. US Treasury bond yields USA rose in early trading on Friday but ended lower, with benchmark 10-year yields down about two basis points to 3.683%, the lowest since early October, and yields on two-year notes fell nearly three basis points up to 4.454%. . “It’s been a very hectic day in the market, so I’m taking a lot of what’s going on with a grain of salt,” said Craig Erlam, senior market analyst at OANDA, adding to the thin liquidity due to the Thanksgiving holiday in The United States contributed to additional volatility. . Meanwhile, recession worries continued to weigh on markets. US bond market moves following Wednesday’s Fed had sent yields on 10-year notes falling to a whopping 79 basis points short of two-year yields, a curve inversion not seen since the fall of dotcom of 2000. On Friday, the curve comparing two-year and ten-year yields—considered by many to be a harbinger of an upcoming economic contraction when inverted—remained deep in negative territory, albeit slightly steeper at -78 basis points . The release of employment data and the consumer price index next week may give investors some clues about the direction of inflation and monetary policy. Fed Chairman Jerome Powell is also scheduled to speak about the economic outlook and the labor market at an event on Wednesday. November 25 Friday 14:00 New York / 1900 GMT Price Current Net Yield Change % (bps) Three-month notes 4.19 4.2916 -0.022 Six-month notes 4.535 4.7035 0.003 Two-year notes 100-24, 0256 – 24.0035 0.003 note 100-206/256 4.2078 -0.029 Five-year note 100-14/256 3.8629 -0.035 Seven-year note 100-144/256 3.7828 -0.039 10-year note 100-144 /256 3.7828 -0.039 10-year note 100-144/256 3.8629 -0.035 601 602 601 601 601 608 1085 -116/256 3.9668 -0.010 30-year bond 104-160/256 3.74019 0.010 DOLLAR SWAP SPREADS Last (bps) Net Change (bps) US$ 2-year swap 33.50 2.25 US spread 3-25 USD 50.5 USD spread -year dollar swap 6.25 -0.25 spread US dollar swap a 10-year -2.75 0.50 spread 30-year US dollar swap -44.50 0.00 spread (Reporting by Davide Barbuscia; Editing by David Holmes and Cynthia Osterman)

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