TREASURIES-Prices steady after 10Y note sale

Tue Nov 10, 2009 9:17pm GMT
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* 10-year Treasury note auction sees decent demand

* Investors cautious ahead of 30-year sale

* Fed officials see slow recovery

* Tepid stocks underpin safety bid for bonds (Updates prices)

By Ellis Mnyandu

NEW YORK, Nov 10 (Reuters) - U.S. Treasury debt prices were steady to a tad firmer on Tuesday after a $25 billion auction of benchmark 10-year notes drew decent demand, but results did little to dampen caution ahead of this week's 30-year note sale.

The 10-year note auction came a day after a solid $40 billion three-year note auction, all part of this week's $81 billion Treasury refunding plan.

"It was a decent auction. Not nearly as strong as yesterday's three-year auction, but it came right at secondary market level," said Rick Klingman, managing director of Treasury trading at BNP Paribas in New York. "The indirect bids were still at a healthy level. Overall a very fair auction."  Continued...

 
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