U.S. Treasury $32 Billion 7-Year Bond Offering

123jump.com Staff
30 Dec, 2009
New York City

U.S. stocks in a volatile trading closed higher on light volume. The benchmark indexes in U.S. and Europe are set to close the year with more than 22% gains. The U.S. Treasury auction of $32 billion of seven year bonds came in at 3.345% yield.

[R]4:00 PM New York, 9:00 PM London, 8:00 AM Sydney – U.S. stocks in a volatile trading closed higher on light volume. The benchmark indexes in U.S. and Europe are set to close the year with more than 22% gains. The U.S. Treasury auction of $32 billion of seven year bonds came in at 3.345% yield.[/R]

U.S. stocks wavered in trading but investors remained optimistic about the economic recovery. The dollar firmed after the business activity measure suggested a larger expected increase in December. Gold and crude oil traded lower.

Security technology related stocks surged after a failed terrorist attempt to explode a device on a flight. CareFusion declined after the parent Cardinal Health plans to sell more stocks. Trico Marine Services guided earnings lower.

U.S. Treasury completed its $118 billion bond offering with the seven-year bonds of $32 billion priced today. The bid-to-cover ratio for the auction was 2.72 and yields on the seven year bonds were 3.345%.

UK stocks decreased following a weakness on commodities prices. The pound and the euro edged lower against the dollar. Panmure Gordon expressed positive outlook for 2010. Segro sold its stake in a joint venture with Tesco to British Land.

European markets declined as most indexes in the region have surged between 20% and 25%. The nuclear reactor maker Areva SA is in discussion with California based energy group to build two plants. Euromedis Groupe first quarter sales increased 11%.

North American Markets

Dow Jones Industrial Average increased 1.51 or 0.01% to a close of 10,466.44, S&P 500 Index edged higher 2.57 or 0.2% to 1,120.59, and Nasdaq Composite Index increased 16.97 or 0.8% to close at 2,269.64. Toronto TSX Composite Index added 30.72 or 0.3% to 11,658.70.

Latin American Markets Indexes

Mexico Bolsa Index increased 209.91 or 0.7% to 32,450.23 and Brazil Bovespa Stock Index added 170.93 or 0.3% to 67,588.86.

Europe Markets Review

In London FTSE 100 Index closed lower 39.75 or 0.73% to 5,397.86, in Paris CAC 40 Index decreased 24.48 or 0.62% to close at 3,935.50, in Frankfurt DAX index lower 54.12 or 0.90% to close at 5,957.43. In Zurich trading SMI decreased 62.61 or 0.95% to close at 6,545.91.

Asian Markets Review

The Nikkei 225 Index in Tokyo closed lower 91.62 or 0.86% to 10,546.44, and Hang Seng index in Hong Kong decreased 2.82 or 0.01% to 21,496.62, and CSI 300 index in China higher 58.12 or 1.66% to 3,558.86. ASX 200 index in Australia decreased 11.80 or 0.24% to 4,833.30. The FTSE Bursa KL Composite index in Malaysia was lower 4.10 or 0.32% to 1,271.12.

The Kospi Index in South Korea increased 10.29 or 0.62% to close at 1,682.77. SET index in Thailand closed lower 7.62 or 1.03% to 734.54. JSE Index in Indonesia increased 15.36 or 0.61% to 2,534.36. The Sensex index in India decreased 57.74 or 0.33% to 17,343.82.

Commodities, Metals, and Currencies

Crude oil increased $0.44 to $79.31 a barrel for a front month contract, natural gas edged down 13 cent to $5.71 per mBtu and gasoline increased 2.94 cents to 204.00 cents.

Soybean future closed down 2.5 cents to $10.44 a bushel. Wheat futures closed up 3.75 cent in Chicago trading to $5.44 a bushel. Sugar closed down 19 cents at 26.96 cents.

Gold decreased $5.00 in New York trading to close at $1,093.10 per ounce, silver closed down $0.26 to $16.85 per ounce and copper for the front month delivery increased 3.30 cent to $3.34 per pound.

Dollar closed higher against euro to $1.433 and edged higher against the Japanese yen to 92.42.

Yield on 10-year U.S. bonds decreased to 3.79% and with 30-year maturities closed lower at 4.61%.