USA 30-year returns top 10% as investors gorge on yields

Bloomberg

Treasury 30-year bond returns pushed past 10 percent for 2016 as the U.S. prepares to sell $15 billion of the securities on Thursday.
The long bonds yield 2.60 percent, more than any other benchmark maturity in the U.S., the U.K., Germany or Japan. Thirty-year debt is leading a rally in Treasuries as traders push back bets for when the Federal Reserve will raise interest rates, while a dollar that has weakened this year makes it cheaper for overseas investors to buy.
Institutional investors that bid through primary dealers, known as indirect bidders, bought 73.5 percent of the 10-year notes the Treasury sold Wednesday, the most in data that go back to 2003. Japanese money managers boosted their holdings of U.S. sovereign debt by a record 4.95 trillion yen in March, based on Ministry of Finance data published on Thursday. “Foreign demand is very strong,” said Wontark Doh, head of overseas fixed-income investment in Seoul at Samsung Asset Management Co., which oversees $200 billion. “Recently, the risk of a tightening of monetary policy has gone down. At most there will be one hike this year.”
Treasuries fell on Thursday, with the benchmark 10-year note yield rising two basis points, or 0.02 percentage point, to 1.75 percent as of 6:40 a.m. New York time, according to Bloomberg Bond Trader data.