Treasuries Pull Back Off Best Levels But Close Slightly Higher

(RTTNews) - After an initial move to the upside, treasuries gave back ground over the course of an abbreviated trading session on Friday.

Bond prices pulled back off their best levels but managed to end the day slightly higher. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, edged down by less than a basis point to 3.054 percent.

The initial strength among treasuries came as traders looked to the safe haven of bonds amid lingering concerns about the global economic outlook.

Trading activity was somewhat subdued, however, as many traders remained away from their desks following the holiday on Thursday.

A lack of major U.S. economic data also kept some traders on the sidelines along with the early close for the markets.

Next week's trading may be impacted by reaction to reports on consumer confidence, new home sales, and personal income and spending as well as remarks by Federal Reserve Chairman Jerome Powell and the minutes of the Fed's latest monetary policy meeting.

Bond traders are also likely to keep an eye on the results of the Treasury Department's auction of two-year, five-year, and seven-year notes.

The Treasury plans to sell $39 billion worth of two-year notes next Monday, $40 billion worth of five-year notes next Tuesday and $32 billion worth of seven-year notes next Wednesday.