Retail sales numbers send bond prices higher

Prices on US Treasury bonds were higher on Friday after new data showed that retail sales in June were much lower than had been expected., dropping 0.9 percent, the biggest decline in almost two years.

A decline of only 0.3 percent had been expected, as the markets already knew about weak sales in cars and homes, but hadn’t taken account of a decline in electronics sales.

Two-year Treasury bonds were yielding 4.920 percent, while ten-year issues yielded 5.109 percent at the close of trade, lower than Thursday’s late quote of 5.1244 percent.

Thirty-year yields were at 5.186 percent.

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