Bond Prices Plunge As Tax-Break Plan Raises Concerns About Inflation, Debt
Posted on December 07, 2010 at 18:31 PM EST
Treasury prices plunged on Tuesday with yields surging above key support levels as a proposed extension of tax cuts raised concerns over inflation and the rising costs of the federal government's massive debt burden. Some analysts saw yields gaining further after Tuesday's price weakness, which marked the biggest sell-off since June 2009. The lower prices spurred only average interest in an auction of three-year Treasury notes, ahead of sales of