Treasury Action: yields continued to sink lower as January came to a close Treasury Action: yields continued to sink lower as January came to a close. Month-end indexed buying was supportive through the late afternoon with the belly outperforming. That saw the 7-year drop over 7 bps to 1.665%, a level not seen since mid-October. The 10-year rate slid to 1.90% while the bond fell to 2.72%, the lowest since April and August, respectively. The catalyst for the initial downdraft, however, was Japan's surprise rate cut, which knocked Asian and European yields sharply lower. Volatility is likely to pick up next week as the various markets look to equilibrate to this week's actions.