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8B Daily News– Wednesday, April 4, 2012 Treasury prices dropped Tuesday after Federal Reserve policymakers said they were worried about a slowdown in hiring and appeared to resist buying more bonds to help the economy. The Dow Jones industri- (AP) — U.S. stocks and al average was down as much as 133 points after the Fed released minutes of the March meeting of its Open Market Committee, which sets interest rates and mone- tary policy. It had been Albertson Training Center 442 Walnut St., Red Bluff Special offer this week only $50 class 530-527-4997 - KIDS SPECIAL - Babysitting Classes Saturday, April 14th Ages: 8 to 12 welcome Call to register 80 Gurnsey Ave. - Red Bluff, CA 96080 (Behind Guy Rents) margescpr@juno.com Kerusso blow-out Sale! All T-shirts and Faith Gear Come early for best selection 25% off during April Hunger for God T-shirts due in any time. 530-527-7663 Monday-Friday 10-6 Proud residents are a region's most effective ambassadors. US stocks fall after dimmer outlook from Fed Wall Street down 45 points before the minutes were released. The Dow bounced back by the close to a decline of 64.94 points, or 0.5 percent, at 13,199.55. The Standard & Poor's 500 index fell 5.66 points to 1,413.38. percent for the year, com- pared with 12 percent for the S&P. Utility stocks barely rose. The other nine indus- try groups that make up the S&P 500 fell, led by energy stocks, which declined about 1 percent as a group. The Fed minutes showed index dropped 6.13 to 3,113.57. It was the fifth loss for the Nasdaq in six trading sessions, but the index remains up almost 20 The Nasdaq composite that policymakers fear hir- ing could slow if economic growth doesn't improve. The country added an aver- age of 245,000 jobs per month from December through February, the strongest three months since the Great Recession. Only two of 10 voting committee members on the Fed committee said they would support another round of bond purchases, After Tax Time is Over April 17th We will still be here • Extension • Prior Year Taxes • Bookkeeping • Payroll P. Ralph Campbell, EA Enrolled Agent • Financial Services 530-529-9540 855 Walnut St. #2, Red Bluff CA Insurance Lic. 0C73069 Daniele Jackson and only if the economy weakened significantly. The minutes did not address the logistics of more bond-buying, trou- bling traders of stocks and bonds who anticipate more action from the Fed, said John Canally, an economist for LPL Financial. down long-term interest rates. Low bond yields gen- erally encourage profit-hun- gry investors to buy stocks. When it appears that The release of the min- utes reduced demand for government bonds, driving prices down and yields up. The yield on the benchmark 10-year Treasury note rose to 2.31 percent from 2.16 percent earlier Tuesday. That was its highest since March 20. on two previous rounds of bond-buying, most recently in August 2010, to drive K W I K K U T S Family Hair Salon $200 REGULAR HAIRCUT off with coupon Not good with other offers 1064 South Main St., Red Bluff • 529-3540 Reg. $13.95 Expires 4/30/12 The Fed has embarked bond-buying is unlikely, demand for Treasurys tends to fall. That's because the Fed is the biggest play- er in the market for U.S. government debt. Traders try to front-run the Fed by buying bonds because they believe demand will be strong later. financial markets after the Fed's announcement: — The sell-off in Trea- Among the ripples in the surys was broad. The price of the 30-year Treasury bond fell $2.53 per $100 invested, pushing its yield up to 3.44 percent from 3.32 percent before the Fed min- utes. — Gold fell $38 an ounce to $1,642 after trad- ing almost unchanged earli- er. The Fed minutes sug- gested inflation is under control, and traders some- times buy gold as a hedge when they worry about inflation, driving the price up. for most of the day. The euro was down 1.1 cents against the dollar to $1.322 in afternoon trading. Specu- lation that the Fed won't act typically helps the dollar. When the Fed buys bonds and other debt securities to keep rates low, that limits the returns available to investors who hold the dol- lar. wait-and-see mode all morning before the Fed minutes were released. Stocks drifted lower despite solid reports on auto sales and factory activity. Orders to factories bounced back by a solid 1.3 percent in February as busi- nesses made more long- term investments, the Com- merce Department said after the market opened. The news bolstered ear- lier signals that U.S. con- sumers are feeling confi- dent enough in the econo- my to buy higher-cost items like cars after years of putting off major purchas- es. 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The afternoon selling doused any enthusiasm the market carried into the week after it closed its best first quarter in more than a decade. The Dow and S&P both finished at multi-year highs Monday.