The Federal Reserve Bank of New York purchased $2.489 billion

The Federal Reserve Bank of New York purchased $2.489 billion in Treasury notes on Monday, part of officials' pledge to reinvest cash from maturing mortgage-backed securities and housing-agency debt back into the bond market to support the economic recovery. Dealers offered to sell the Fed $18.545 billion in debt maturing from 2013 to 2014. Analysts expected the central bank to buy about $2.5 billion. After the results, the broader bond market remained higher, pushing yields down. Yields on 10-year notes , which move inversely to prices, rose 3 basis point to 2.63%.

Copyright © 2010 MarketWatch, Inc.