Treasury Prices Slip After ISM Reading

MarketWatch Pulse

Treasury prices slipped Monday, pushing up yields after a stronger-than-expected reading from the Institute for Supply Management's October manufacturing index. The yield on the 10-year Treasury note rose 1.5 basis points to 2.3526%, erasing an earlier decline after the ISM gauge rose to 59% from a September reading of 56.6%. Bond yields rise as prices fall. Economists surveyed by MarketWatch had forecast a reading of 56.5%. Stronger economic data could prompt the Federal Reserve to begin raising official interest rates sooner than previously expected, analysts say, potentially weighing on bond prices.

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