Treasuries came off their worst levels by the session's end but still finished lower. Other than a brief uptick on weaker-than-expected non-manufacturing ISM, Treasury prices spent the morning in the red.
A Medley report then caused renewed selling as the market interpreted it as saying a rate hike was imminent. But when it was actually shown to say a hike was months away, Treasuries reversed course. The pricing of a Mass muni deal which brought in buying also supported prices. Finally, the Federal Reserve's Beige Book was essentially a non-event, but not overly strong, which precipitated some short-covering into the close.