Treasuries Fall Third Day Before Data Forecast to Show Job Gains

Treasuries fell, pushing 10-year note yields higher for a third day, as demand for the safety of U.S. government securities ebbed before a report forecast to show payrolls growth rebounded from the slowest in almost two years.

Ten-year note yields rose from almost a three-month low as the Labor Department said initial claims for unemployment benefits declined last week, adding to speculation the Federal Reserve may make further reductions in its bond purchases. The government will sell a record amount of three- and six-month bills next week, giving it greater flexibility after tomorrow’s expiration of an accord suspending the nation’s debt limit.