Bonds, dollar up

NEW YORK (CNNMoney.com) -- Treasury prices got a boost Thursday after a weaker than expected report on mid-Atlantic business activity.

The benchmark 10-year note rose 11/32, or $3.44 on a $1,000 note, yielding 4.55 percent, down from 4.59 percent late Wednesday.

The 30-year bond gained 17/32, or $5.31 on a $1,000 bond, to yield 4.69 percent, down from 4.72 percent in the previous session. Bond prices and yields move in opposite directions.

The five-year note was up 7/32, yielding 4.51 percent. The two-year note added three ticks, yielding 4.66 percent.

The Philadelphia Federal Reserve Bank said its business activity index fell to negative 4.3 in December from 5.1 in November. Wall Street analysts had forecast a gain of 4.0. The index was negative for the third time in the past four months.

"The Philadelphia manufacturing survey came in a little lower than expected and that helped Treasuries prices," Alan Skrainka, chief market strategist at Edward Jones in St. Louis, told Reuters.

In earlier economic news, the Commerce Department said its final reading on gross domestic product in the third quarter registered a 2 percent increase.

Economists surveyed by Briefing.com forecast that the broad measure of the nation's economic activity grew at an annual 2.2 percent percent, unchanged from its previous reading.

And the Labor Department said initial jobless claims rose to 315,000 last week, exactly as predicted.

In currency trading, the dollar was little changed against the euro and yen.

The euro bought $1.3167, down from $1.3195 late Tuesday. The dollar bought ¥118.37, up from ¥118.07 in the previous session.

______________

See bond charts

Stocks retreat on economic concerns