TOKYO May 1 U.S. 10-year Treasuries firmed in
Asian trading on Wednesday after data showed growth in China's
manufacturing sector unexpectedly slowed, but moves were slight
as investors awaited the outcome of the U.S. Federal Reserve's
* China's official purchasing managers' index (PMI) fell to
50.6 in April from March's 11-month high of 50.9, falling short
of the 51 forecast as new export orders and input prices
* The Fed is expected to decide to keep buying bonds
aggressively for most of 2013 at its two-day policy-setting
meeting, after cool inflation data. The central bank's statement
is scheduled to be released at 1800 GMT.
* Also later on Wednesday, The Treasury will announce its
second-quarter refunding plans, with investors watching for any
cuts in planned issuance.
* "We don't expect a cut in issuance of coupon-bearing debt,
but we will be watching to see what the Treasury decides," said
a fixed-income fund manager at a Japanese asset management firm.
* The yield on U.S. 10-year notes was slightly
down, at 1.668 percent on Wednesday from 1.675 percent in late
U.S. trading on Tuesday.
* The yield on 30-year bonds drifted lower to
2.874 percent from 2.876 percent in late U.S. trade.
* On the U.S. data front, a report on Tuesday showed that
Midwest business activity unexpectedly shrunk in April to its
lowest level since September 2009, as a gauge of employment
April's non-farm payrolls report is scheduled for release on
Friday. The median estimate of economists polled by Reuters is
that employers added 145,000 jobs last month.