(Bloomberg) -- Treasuries rose after weaker-than-
forecast reports on jobs and services reinforced speculation
that losses in mortgage-backed bonds will lead to a broad-based
economic slowdown.
Two-year notes, more sensitive than longer-maturity debt to
changes in monetary policy, led the rally as traders increased
bets that the Federal Reserve will cut interest rates this year.
The gains accelerated after Bear Stearns Cos., the second-
largest underwriter of mortgage-backed bonds, had its credit-
rating outlook cut to negative by Standard & Poor's.
Read more at Bloomberg Bonds News
forecast reports on jobs and services reinforced speculation
that losses in mortgage-backed bonds will lead to a broad-based
economic slowdown.
Two-year notes, more sensitive than longer-maturity debt to
changes in monetary policy, led the rally as traders increased
bets that the Federal Reserve will cut interest rates this year.
The gains accelerated after Bear Stearns Cos., the second-
largest underwriter of mortgage-backed bonds, had its credit-
rating outlook cut to negative by Standard & Poor's.
Read more at Bloomberg Bonds News
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