TREASURIES-U.S. yields drop after Trump stops stimulus talks

  • 10/6/2020
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* Trump halts coronavirus-related stimulus talks * Yields fall across the board (Recasts, Trump news on stimulus, updates prices) By Gertrude Chavez-Dreyfuss NEW YORK, Oct 6 (Reuters) - U.S. Treasury yields dropped from four-month peaks after President Donald Trump on Tuesday called off negotiations with Democratic lawmakers on a coronavirus relief stimulus package until after the Nov. 3 election. In an about-face from his administration"s stance of committing to a stimulus package before the election, Trump accused House of Representatives Speaker Nancy Pelosi of not negotiating in good faith. U.S. yields dropped across the board. In afternoon trading, U.S. 10-year yields dropped to 0.738%, from 0.762% late on Monday, after earlier rising to 0.792%, the highest level since June. Yields on U.S. 30-year bonds were at 1.536%, down from 1.567% on Monday. Earlier, 30-year yields climbed to a four-month peak of 1.61%. October 6 Tuesday 3:13PM New York / 1913 GMT Price Current Net Yield % Change (bps) Three-month bills 0.0975 0.0989 0.000 Six-month bills 0.11 0.1116 -0.002 Two-year note 99-245/256 0.1467 0.002 Three-year note 99-212/256 0.1837 -0.002 Five-year note 99-174/256 0.3149 -0.009 Seven-year note 99 0.5211 -0.016 10-year note 98-224/256 0.7436 -0.018 20-year bond 96-208/256 1.3078 -0.024 30-year bond 96-32/256 1.5373 -0.030 DOLLAR SWAP SPREADS Last (bps) Net Change (bps) U.S. 2-year dollar swap 8.25 0.25 spread U.S. 3-year dollar swap 7.50 0.25 spread U.S. 5-year dollar swap 7.00 0.50 spread U.S. 10-year dollar swap 2.25 0.75 spread U.S. 30-year dollar swap -36.75 0.75 spread (Reporting by Gertrude Chavez-Dreyfuss Editing by Nick Zieminski and Will Dunham)

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