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But falling prices can also reflect expectations of economic weakness.
As with an individual stocks, it should reflect expectations of faster-than-normal profits growth.
That could help lower longer-term rates, as they partly reflect expectations of future short-term rates.
Some people suggest that they reflect expectations of a slowdown in growth, or a lower inflation-risk premium or, perhaps, pension funds' increased appetite for fixed-income assets.
The auction was the second-worst on record.In the near term, bond yields are constrained because they reflect expectations of the future level of short-term interest rates.
This could reflect expectations of weak sales, and less of a payoff to new investment: annual productivity growth has slowed to 1% since the recovery began, half its long-run average.
Similar(51)
Traders said the buying reflected expectations of shortages in the near term.
Others argue that investors' willingness to accept such low rates on safe assets reflects expectations of very weak growth.
But the market price of carbon credits fell sharply immediately after the conference, reflecting expectations of weaker demand.
Most of the increase this month reflects expectations of higher inflation, with conventional bond yields rising fast, but inflation-protected bonds less so.
You would expect that if a recession were imminent, the two-year yield would fall lower, reflecting expectations of Fed rate cuts to combat the downturn.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com