S&P MARKETSCOPE: Long-dated Treasuries fell on the back of concerns the yuan revaluation will hurt Chinese demand for bonds and speculation of more rate hikes to come in the U.S.
The 10-year note fell 06/32 to 99-03/32 for a yield of 4.24%. The 30-year bond slid 12/32 to 113-28/32 for a yield of 4.46%.
There was little immediate reaction to record-high existing home sales of 7.33 million units in June, though this supported the case for more rate increases. Fed watcher John Berry highlighted the Fed's concerns about inflation in a Bloomberg report. The recent upswing in base metals prices added to fears that inflationary pressures are building.