☰

M. Continuo

Bonds erase gains after industrial output data


    NEW YORK (Reuters) - Long-dated U.S. Treasuries prices turned negative on Monday after government data showed industrial output fell than less expected in November, reducing bids for safe-haven bonds.

    Long-dated Treasury prices rose earlier in reaction to a regional Federal Reserve report that fanned deflationary concerns and reinforced the view of sustained, low long-term interest rates.

    The price on 10-year Treasury notes were last unchanged from Friday at 110-8/32. Their yield which moves inversely to price traded at 2.57 percent, versus 2.55 percent prior to the manufacturing output report.

    (Reporting by Richard Leong; Editing by Theodore d'Afflisio)