Treasuries Decline Most in More Than a Week as U.S. Stock Markets Increase

(Bloomberg) -- Treasuries fell the most in more than
a week amid a rise in stocks as traders speculated that
individual investors had yet to participate widely in equity
increases, suggesting potential for further gains.

The 10-year swap spread held near the widest in five years,
suggesting persistent concern losses on subprime loans in the
U.S. will hurt the broader economy. Treasuries gained last week
as traders canceled bets on riskier securities as credit spreads
widened. Fully hedged market participants had less need to buy
Treasuries today leading to a loss in momentum, traders said.


Read more at Bloomberg Bonds News