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TREASURIES-Prices up as stocks dip; 3-yr notes well-bid

Mon Nov 10, 2008 11:04pm IST
 
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*Treasuries prices rise as stocks erase most early gains

*Stock reversal revives bid for safe-haven government debt

*Treasury $25 billion 3-year note auction well-bid

*3-yr note sale first part of $55 bln quarterly refunding

*Market to shut at 2 p.m. before Veterans Day holiday (Updates comments, prices)

By Ellen Freilich

NEW YORK, Nov 10 (Reuters) - U.S. Treasury debt prices reversed early losses and rose on Monday when stocks erased an early climb and turned lower, reviving investors' taste for safe-haven U.S. government debt.

That appetite for shorter-dated debt was evident in the U.S. Treasury's $25 billion three-year note auction where bids offered over those accepted was just over three to one.

The three-year note sale was the first part of the Treasury's $55 billion three-part quarterly refunding. The Treasury will sell 10-year notes on Wednesday and re-opened 30-year bonds on Thursday.  Continued...

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