TOKYO Jan 17 U.S. Treasuries rose in Asian
trading on Thursday, attracting investors' favour as stocks
erased early gains.
* The MSCI's broadest index of Asia-Pacific shares outside
Japan skidded 0.4 percent in afternoon trading,
building on two sessions of losses.
* Yields on 10-year Treasuries fell to 1.804
percent in Asian trade on Thursday, down from 1.815 percent in
late U.S. trade on Wednesday.
* Yields on 30-year Treasuries stood at 2.997
percent, down from 3.009 percent on Wednesday.
* "Some bargain hunters come out whenever yields rise,
because of the event risk tied to the question of raising the
U.S. debt ceiling," said a fixed-income fund manager at a
Japanese asset management firm in Tokyo.
After watching the prolonged impasse over the U.S. "fiscal
cliff" issue, investors fear a repeat in the coming weeks as
U.S. lawmakers haggle over raising the $16.4 trillion federal
* Dallas Federal Reserve President Richard Fisher said late
Wednesday that the effectiveness of the Fed's massive bond
purchases in helping the economy was fading. The Dallas Fed
chief is counted among the most hawkish of the Fed's
policymakers in his concern about potential inflation.
Minneapolis Fed President Narayana Kocherlakota delivered
his third speech in two days on Wednesday on why the Fed should
hold interest rates ultra-low to ease policy further.
* Earlier on Wednesday, the Fed's latest Beige Book showed
mild U.S. growth in recent weeks but showed no signal that
economic expansion will accelerate.
* On the supply side, the Fed on Wednesday bought $1.474
billion in federal debt maturing from February 2036 through
November 2042, which was a part of its $45 billion monthly
purchases of Treasuries.