San Antonio Mortgage Interest Rates Rise Slighlty on the Treasurys Fall on Poor 10-Yr Debt Sale

 As reported by Reuters -- U.S. Treasurys prices fell on Wednesday, sending 30-year yields to four-week highs after an unexpectedly poor auction of 10-year debt.

The Treasury sold $21 billion of 10-year notes in an auction that registered weak demand by all measures and is likely to bode ill for Thursday's $13 billion 30-year bond auction.

Wednesday's offering was the second of three this week that will total $74 billion and which may suffer from bad timing because many professional investors are unwilling to commit funds this close to the year-end.

The burgeoning U.S. national debt also makes it difficult to sell bonds as auction sizes have expanded this year to pay for bailouts of the financial sector and economic stimulus measures.

"These are large sizes and you have a problem with people not wanting to take risk at the end of the year," said Nick Kalivas, vice president of financial research at MF Global Research in Chicago.

The benchmark 10-year Treasury note was last down 11/32, yielding 3.43% versus 3.39% at Tuesday's close.

The 30-year Treasury bond was down 22/32, yielding 4.42% against 4.37% late Tuesday, though losses were well over a point immediately after the auction