As the U.S. non-farm payroll addition recorded a new low over the past 6 months, resulting in the market concerns about the slowdown in the U.S. economy recovery, the 10-year U.S. Treasury note yield fell to the lowest level over the last three months. The U.S. Federal Reserve may consider taking further stimulus measures to promote economic growth.
The Treasury note yield fell before the European elections may lead to changes in leadership in Europe and to intensify the region’s sovereign debt crisis. The U.S. government will auction $72 billion of notes and bonds next week. An analyst pointed out that the Treasury return rates reflect the concerns about economic growth. The U.S. economy has experienced a-few-month unrealistic strong data, and currently it is time to pay off. Sluggish economic growth and the policies of the U.S. Federal Reserve as well as the European crisis led to the decrease in treasury yields.
According to the Bloomberg data, the 10-year Treasury note yield fell six basis points in New York this week, or 0.06 percent, to 1.88 percent and touched the new low of 1.87 percent since February 3.