CREDIT : Bond Prices Steady as Traders Await Economic Reports

NEW YORK —  Bond prices finished little changed Wednesday as traders appeared to be looking for more evidence on the strength of the economy.

The Treasury’s bellwether 30-year issue rose 1/16 point, or less than $1 for every $1,000 in face amount, as its yield slipped to 8.51% from 8.52% Tuesday.

William V. Sullivan Jr., director of money market research for Dean Witter Reynolds, described trading as listless in the absence of any fresh economic reports.

He said traders were looking toward the scheduled reports later this week on producer prices and next week on the January trade deficit for clues about whether the economy is slowing or strengthening.

In the secondary market for Treasury bonds, prices of short-term government issues were unchanged; intermediate maturities were up 1/16 point, and 20-year issues were up 1/8 point, according to Telerate Inc., a financial information service.

The movement of a point is equivalent to a change of $10 in the price of a $1,000 bond.

The Shearson Lehman composite index, which measures yields on all Treasury notes and bonds, rose 0.28 to 1,181.44.

In corporate trading, industrials and utilities were unchanged in light activity, according to the investment firm Salomon Bros.

Yields on three-month Treasury bills were unchanged at 5.73%. Six-month bills fell 3 basis points to 5.84%, and one-year bills rose 1 basis point to 6.28%. A basis point is one-hundredth of a percentage point.

The federal funds rate, the interest on overnight loans between banks, was quoted at 6.438%, down from 6.675% on Tuesday.

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