WASHINGTON Another flight from stocks late yesterday prompted a rally in the Treasury security market. Stock prices began to crumble well after lunch and ultimately the Dow Jones industrial average closed down a whopping 91.52 at 3677.99. On Monday, the Dow lost nearly 46 in late-day trading.

The 30-year bond was quoted up 19/32 late yesterday at a price of 93 1/32, pushing the yield down to 8.07% from 8.13% the previous day. The 10-year note did relatively better, gaining 14/32 at 99 16/32, pushing its yield down seven basis points to 7.94%.

"Stocks are telling us that higher interest rates are having some impact," said Peter McTeague, market strategist at MCM Money WatchBoston.

Note and bond prices in recent weeks have risen to a point where they are now attractive to stock investors, McTeague said. For example. yields on two-year notes hit 7.25% on Monday, he noted.

Also yesterday, bills gained for a second straight day, with yields on threeand six-month bills falling to 5.45% and 6.03%. respectively.

Yesterday's plunge m stocks and rise in bonds were probably somewhat exaggerated because of low liquidity in late-day trading, analysts said.

McTeague said bonds may have found their bottom for the year and now may rise some or trade sideways through the remaining weeks of 1994.

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