Economics
Treasuries Fall Led by Bunds, Driving Yields Up From 2017 Lows
- Bond bulls face resistance following month-long rally
- Selloff led by European rates after lukewarm German auction
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Treasuries fell Wednesday, pushing five- to 30-year yields up from their lowest levels this year, amid supply-driven declines for German government bonds and technical indications that the month-long rally is running out of steam.
Yields were higher by two to four basis points at about 2:20 p.m. in New York, with the 10-year higher by almost four basis points at 2.21 percent. Tuesday it touched 2.163 percent, the lowest since November, without a clear catalyst. Fading confidence in tax reform, North Korea missile tests, French election risk and a spate of weak U.S. economic data were all cited, along with declining inflation expectations as measured by break-even rates on inflation-protected Treasuries.