Treasury prices move higher as stocks falter

NEW YORK — Treasury prices continued their march higher Friday, sending yields lower, as investors sold off stocks and moved into safer investments.

In late trading, the price of the benchmark 10-year note edged up 1/32 to 102 8/32 and its yield remained flat at 3.35 percent from late Thursday. The yield on the 10-year note is closely tied to rates on consumer loans such as mortgages.

Stocks slipped to break a five-day streak of gains as falling oil hurt some energy stocks and worries about the market’s rally pushed some traders to lock in profits. Analysts say the market is due for a pause following a surge of more than 50 percent in six months.

Typically when stocks retreat, bond prices rise as investors move out of riskier investments and stash their money in safer, government-backed debt.

Treasurys had been rallying throughout the week following several successful debt auctions. Demand for three-year and 10-year notes as well as 30-year bonds was strong in three separate auctions.

In other trading, the price of the 30-year bond rose 13/32 to 105 12/32, pushing its yield down to 4.18 percent from 4.20 percent.

The price of the two-year slipped 1/32 to 100 5/32 and its yield rose to 0.91 percent from 0.90 percent.

The yield on the three-month T-bill was flat at 0.13 percent. Its discount rate was 0.14 percent.

The cost of borrowing between banks was unchanged. The British Bankers’ Association said the rate on three-month loans in dollars — the London Interbank Offered Rate, or Libor — was flat at 0.30 percent.