Treasuries Fall to Profit Taking on Robust Data

Treasuries took a beating on stronger economic data, heightening speculation the Fed will soon hike interest rates

Treasuries finished the holiday-shortened week bruised and beaten down into submission thanks to another battery of robust data. It was a one-way escalator down right into the early close before some last second short-covering. Curve steepening was still evident, though it was disguised by the yield roll to WI two-year notes auctioned Wednesday that replaced the older issue. Fourth quarter GDP was revised up 0.2% to 1.7%, University of Michigan sentiment was revised up 0.7 to 95.7 and Chicago-PMI jumped to 55.7 from 53.1, though jobless claims rose 18,000 to 394,000.

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