TREASURIES-Flat in Asia as market monitors stocks

TOKYO, May 11 (BestGrowthStock) – U.S. Treasuries were little changed
in Asia on Tuesday as the market eyed the extent of the bounce in
global equities after emergency plans to halt the euro zone debt
crisis raised expectations for a return to stability in financial
markets.

* Treasuries had tumbled on Monday as the euro zone’s rescue
plan triggered a global equity rally by relieving investors of
the fear that had sent them rushing to buy safe-haven government
bonds the previous week.

* The slide in Treasuries slowed as the market waited to see
how the euro zone initiatives play out and whether the bounce in
global equities will be sustained.

* S&P 500 futures (SPc1: ) were little changed on Tuesday after
gaining 4.4 percent the previous day. The MSCI ex-Japan index
(.MIAPJ0000PUS: ) slipped 0.1 percent after the previous day’s 3.3
percent surge.

* The benchmark 10-year Treasury note (US10YT=RR: ) was little
changed in price from late U.S. trade the previous day to yield
3.54 percent. The yield had gone as low as 3.27 percent hit last
week, a five-month trough.

* The five-year note (US5YT=RR: ) was flat in price to yield
2.26 percent. The two-year note (US2YT=RR: ) was unchanged in price
to yield 0.86 percent.

* To stop Greece’s debt crisis from spreading through the
euro zone, the European Union on Monday agreed on an emergency
loan package that could reach 750 billion euros combined with
support from the International Monetary Fund.

* Euro zone central banks also started buying government
bonds on Monday in a reversal of the European Central Bank’s
resistance to full-scale asset purchases. [ID:nLDE649051]

Stock Market News

(Reporting by Shinichi Saoshiro)

TREASURIES-Flat in Asia as market monitors stocks