NEW YORK (CNNMoney.com) -- Bond prices were mostly higher Tuesday on a stronger dollar and amid speculation that China will continue to tighten its credit policy.
What prices are doing: The benchmark 10-year note rose 4/32 to 98-1/32, and the yield fell to 3.61% from 3.63% late Monday. Bond prices and yields move in opposite directions.
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| Click on the chart to view bond prices. |
The 30-year bond fell 7/32 to 96-29/32, and its yield was 4.56%. The 2-year note edged up less than 1/32 to 100-12/32 and yielded 0.80%.
What's driving prices: A rising dollar pushed bond prices higher Tuesday, said Peter Cardillo, a chief market strategist at Avalon Partners.
Treasurys were also boosted by reports that some Chinese banks have stopped extending loans for the rest of the month, increasing investor concern that China will continue to take measures to slow its economic growth.
A volatile stock market affected prices as well, Cardillo added.
"Stocks are still unstable and aren't responding to new earnings and economic data, which indicates there's a fear factor in the market and some of that money is moving into Treasurys," he said.
Investors were also attracted to the safety of bonds after Standard & Poor's said it would consider downgrading Japan's credit rating.
What analysts are saying: Cardillo said investors will be looking at employment data next week and "any major improvement could take some of the wind out of the bond market."
Looking ahead, he expects the Federal Reserve to raise interest rates sooner than anticipated, causing Treasury prices to rise.
"The question is how strong growth is going to be going into 2010, and more importantly, what inflation is going to do," he said. 
| Overnight Avg Rate | Latest | Change | Last Week |
|---|---|---|---|
| 30 yr fixed | 3.80% | 3.88% | |
| 15 yr fixed | 3.20% | 3.23% | |
| 5/1 ARM | 3.84% | 3.88% | |
| 30 yr refi | 3.82% | 3.93% | |
| 15 yr refi | 3.20% | 3.23% |
Today's featured rates:
| Index | Last | Change | % Change |
|---|---|---|---|
| Dow | 32,627.97 | -234.33 | -0.71% |
| Nasdaq | 13,215.24 | 99.07 | 0.76% |
| S&P 500 | 3,913.10 | -2.36 | -0.06% |
| Treasuries | 1.73 | 0.00 | 0.12% |
| Company | Price | Change | % Change |
|---|---|---|---|
| Ford Motor Co | 8.29 | 0.05 | 0.61% |
| Advanced Micro Devic... | 54.59 | 0.70 | 1.30% |
| Cisco Systems Inc | 47.49 | -2.44 | -4.89% |
| General Electric Co | 13.00 | -0.16 | -1.22% |
| Kraft Heinz Co | 27.84 | -2.20 | -7.32% |
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