Treasurys edge higher on hopes of debt deal

NEW YORK — Treasury bond prices are edging higher after reports that President Obama is close to reaching a deal with Congressional Republicans to raise the nation’s debt ceiling.

The deal is said to include $3 trillion in spending cuts and overhauls of the tax code that could raise as much as $1 trillion in new revenues. Neither party has confirmed that a debt ceiling agreement is imminent. But if it is passed, the deal would allow the U.S. to avoid defaulting on its debt.

The 10-year Treasury note is up 37 cents for every $100 invested Friday. Its yield fell to 2.97 percent from 3 percent late Thursday.

The 30-year Treasury is up 72 cents for every $100 invested. Its yield fell to 4.27 percent from 4.31 percent.