Exchange traded funds (ETFs) that invest in Treasury bonds logged a second day of solid gains Wednesday after President Barack Obama announced a plan to cut the U.S. budget deficit by $4 trillion within 12 years.

Bond ETFs finished higher after the Treasury held an auction of 10-year notes and as investors waded through the Federal Reserve’s Beige Book.

Treasury ETFs built on Tuesday’s gains, when they rose as traders looked for shelter from the sell-off in stocks and commodities.

The iShares Barclays 20+ Year Treasury Bond Fund (NYSEArca: TLT) was down 2.3% year to date heading into Wednesday’s session with bond investors worried about rising interest rates and the U.S. debt load.

iShares Barclays 20+ Year Treasury

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