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Treasuries rose on Tuesday with longer-maturity securities gaining for one time in seven days after an increasing auction of two-year notes drew a cheaper yield than traders estimate. Two-year Treasury note yields fell from nearby the highest level in almost three weeks after brand new sold USD 40 billion of the securities at a yield of 0.93%. Thirty-year bond yields fell you.12% to 3.25%, two-year Treasury note yields fell .03% to 0.81% and 10-year note yields dropped .11% to 2.54%.
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In simple term, downside effect of this downgrade is small. This next few years, everything should continue as prevalent. However, if the US isn't upgraded or perhaps is downgraded again, it will be a sign how the US Economy is really ailing.
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