Bullish Treasury Buyers Abound at Auctions Before Fed Decision
- Indirect bidders purchase record amount at 30-year bond sale
- Demand at this week's auctions is the highest since June
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Buyers piled into U.S. auctions of notes and bonds this week as investors were undeterred by the chance that the Federal Reserve may raise interest rates when it meets next week.
A group of buyers that includes foreign central banks and mutual funds purchased a record portion at Thursday’s $13 billion auction of 30-year bonds. As futures traders have pared bets that policy makers will raise rates this month, bond bulls are wagering that even if the Fed does move, low inflation will keep longer-term Treasury yields in check.