April 30, 2013 / 5:15 AM / in 5 years

TREASURIES-Bonds edge down but moves small ahead of Fed, data

TOKYO, April 30 (Reuters) - U.S. 10-year Treasuries edged down in Asian trading on Tuesday, taking their cue from firmer stocks but mostly sticking close to recent levels as investors awaited key events later this week.

* MSCI’s broadest index of Asia-Pacific shares outside Japan rose to a seven-week high and was on track for a monthly rise of nearly 2 percent.

* The U.S. Federal Reserve is expected to decide to keep buying bonds aggressively for most of 2013 at its two-day policy-setting meeting ending on Wednesday, with its statement scheduled to be released at 1800 GMT.

The U.S. central bank currently buys $85 billion of longer dated U.S. Treasuries and mortgage-backed bonds every month.

* Non-farm payrolls data for April is scheduled for release on Friday. The median estimate of economists polled by Reuters is that employers added 145,000 jobs. The previous month’s data fell short of forecasts, with just 88,000 jobs added in March.

* “This is a week in which a lot of events awaited, ahead of which big moves aren’t likely,” said Tomoaki Shishido, fixed income analyst at Nomura Securities.

“Monday’s price data showed little inflation, so markets will be waiting to see if the FOMC has mentions this,” he said.

* A price index for consumer spending released on Monday fell 0.1 percent, the first drop since November, while a core reading that strips out food and energy costs was flat.

Over the past 12 months, inflation has risen just 1.0 percent, the smallest gain since October 2009.

* The yield on U.S. 10-year notes was slightly higher at 1.668 percent on Tuesday from 1.665 percent in late U.S. trading on Monday, but still not straying far from a more than four-month low of 1.643 percent hit a week ago.

* The yield on 30-year bonds drifted up to 2.876 percent from 2.869 percent in late U.S. trade.

* On the supply side, the Fed will buy between $4.25 billion and $5.25 billion in notes due 2017 on Tuesday as part of its ongoing bond purchase program.

The Treasury on Monday said it will sell $30 billion in four-week Treasuries bills on Tuesday, $10 billion less than the last week and $5 billion less than most expected.

The Treasury will announce its second-quarter refunding plans on Wednesday, with investors watching to for any cuts in planned issuance as the government benefits from strong tax inflows.

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