The U.S. bond market was closed Monday for Columbus Day but fixed-income exchange traded funds continued to trade. Treasury ETFs climbed while stocks moved lower on concerns over the global economy.
The iShares Barclays 20+ Year Treasury Bond Fund (NYSEArca: TLT) was up 0.8% in morning action.
The World Bank cut its economic growth forecast for East Asia, citing a slowdown in China and Europe’s lingering debt crisis.
TLT, the Treasury ETF, is down 4% over the past month and is clinging to a 2% gain year to date. [Treasury ETFs Look Vulnerable as PIMCO’s Gross Cuts Holdings]
The yield on the 10-year Treasury note closed last week at 1.75%.