July 29th, 2010
08:26 PM ET

Stocks slide; 30-year bond yield at 1-month high

A look at highlights from the day's business news:

Stocks edge lower

Stocks slid Thursday, although they finished off their session lows, as investors weighed cautious comments from a regional Federal Reserve president about the health of the economy and a mix of quarterly profit reports.

The Dow Jones industrial average lost 30 points, or 0.3 percent, the S&P 500 index dipped 4 points or 0.4 percent and the Nasdaq composite dropped 13 points, or 0.6 percent.

The market's tone turned negative after an early boost from Exxon Mobil and a drop in weekly jobless claims. Plaguing the market were worries about Friday's initial GDP report for the second quarter and Federal Reserve Bank of St. Louis President James Bullard's warning about the threat of deflation to the economy.

30-year bond yield at 1-month high

Longer-dated Treasury prices turned lower Thursday, with the 30-year yield spiking to a one-month high, as investors took in a better-than-expected report on jobless claims and prepared an auction of government debt later in the day.

The benchmark 10-year note was flat at 104-11/32, with a 2.99 percent yield. Meanwhile, the 30-year bond sank 4/32 to 105-6/32 and its yield rose to 4.07 percent. Earlier in the day, it spiked to 4.13 percent, the highest since June 25.

Bond prices and yields move in opposite directions.

The two-year note rose 1/32 to 100-3/32 and yielded 0.59 percent, while the five-year note edged up 9/32 to 100-12/32 with a yield of 1.68 percent.

Demand for the safety of government debt eased as a modest drop in jobless claims and strong corporate results renewed some optimism among investors, who pushed stocks higher.

- CNNMoney.com reporters Alexandra Twin and Hibah Yousuf contributed to this report.

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Filed under: Economy
soundoff (2 Responses)
  1. BreakingNewsBlog.us

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    how much BP should refund to Gulf's States???
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    http://ireport.cnn.com/docs/DOC-472981
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    July 29, 2010 at 8:44 pm | Report abuse |
    • BreakingNewsBlog.us

      just want to take this opportunity to apologize to all the posters on CNN's news blogs. I know I have been posting some really stupid and annoying stuff over the last few months but I am not able to help it. My doc says I have obsessive/compulsive disorder and a couple of other mental issues. The meds help when mommie remembers to give them to me. When she forgets (usually when she's out with her "men friends" drinking) that's when I go down to the basement and start posting crazy stuff. I'm sorry. As you can tell, the meds are working today

      July 30, 2010 at 1:45 pm | Report abuse |