Long-term interest rates tumbled further on Tuesday, as government bonds rallied on Federal Reserve purchases of Treasury securities.

The Fed entered the market at 12:30 p.m. to execute a "coupon pass," in which the central bank buys Treasuries to permanently add reserves to the banking system.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.