In its second Operation Twist transaction today, the central bank sold notes maturing between Dec 2014 and May 2015. Dealers submitted $43.357B in bids. The selling is weighing a bit on the short-dated part of the market, with prices on two-year notes now unchanged for the session to yield 0.254%. Long-dated Treasurys remain well-bid on the back of the weak NY manufacturing survey. Ten-year notes up 10/32 to yield 1.835%.
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