Treasuries Rally Amid Sell-Off On Wall Street

(RTTNews) - Treasuries showed a substantial move to the upside during trading on Wednesday, extending the upward trend seen over the past few sessions.

Bond prices moved steadily higher as the day progressed before closing near their best levels of the day. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, tumbled by 11.3 basis points to 2.216 percent.

With the steep drop on the day, the ten-year yield ended the session at its lowest closing level in almost a month.

Treasuries benefited from their appeal as a safe haven amid significant weakness among stocks, with the Dow plummeting by more than 300 points.

The sell-off on Wall Street came as ongoing political turmoil in Washington further offset optimism about President Donald Trump's ability to implement tax reform and deregulation.

In the latest headache for the White House, reports claim Trump asked former FBI Director James Comey to quash an investigation of former National Security Adviser Michael Flynn.

A report from the New York Times cited a memo Comey purportedly wrote shortly after an Oval Office meeting he had with Trump in February.

The White House has denied the report, saying, "The president has never asked Mr. Comey or anyone else to end any investigation, including any investigation involving General Flynn."

The latest developments come on the heels of the uproar over Trump's firing of Comey as well as claims the president revealed highly classified information to Russian officials.

Developments in Washington may continue to impact trading on Thursday, although reports on weekly jobless claims, Philadelphia-area manufacturing, and leading economic indicators may also attract attention.