Treasuries Post Weekly Drop as Data Suggest Momentum

Treasuries dropped after reports showing increases in manufacturing in the New York region and consumer confidence added to optimism the U.S. economy is gaining momentum.

Yields on benchmark 10-year bonds climbed above 2 percent after the Federal Reserve Bank of New York’s general economic index unexpectedly increased to 10, the highest since May 2012. The Thomson Reuters/University of Michigan preliminary index of consumer sentiment rose to a three-month high.