NEW YORK (CNNMoney.com) -- Treasury prices gave up gains and turned lower Thursday after the Treasury announced a fresh supply of U.S. debt to be auctioned next week.
What prices are doing: The benchmark 10-year note fell 9/32 to 98-25/32, pushing the yield up to 3.78% from from 3.75% late Wednesday. Bond prices and yields move in opposite directions.
The 30-year bond slipped 11/32 to 99-25/32, and its yield rose to 4.64%.The 2-year note shed 2/32 to 99-30/32 with a 1.04% yield. The 5-year note was down 7/32 to 99-27/32 with a yield of 2.54%.
What's moving the market: Early in the session, a safety bid for U.S. Treasurys gained traction after a report from the European Union suggested that Greece's 2009 deficit was bigger than the government reported. The credit rating agency Moody's downgraded Greece's debt to a lower investment grade, and initiated a further review.
But the rally for U.S. debt lost steam following an announcement about upcoming supply. The Treasury said it will auction $129 billion in securities next week.
What analysts are saying: "There are different forces at work here," said David Coard, head of fixed income trading at the William Capital Group.
He said that earlier in the day, the continued worry about Greek debt was dominant and prompted safe haven buying of Treasurys.
|Overnight Avg Rate||Latest||Change||Last Week|
|30 yr fixed||3.34%||3.50%|
|15 yr fixed||2.62%||2.65%|
|30 yr refi||3.39%||3.39%|
|15 yr refi||2.64%||2.67%|
Today's featured rates:
Telsa CEO Elon Musk chided his salespeople for offering discounts to customers, violating the company's strict 'no negotiation, no discount' policy. More
China is no longer offering Venezuela new loans, according to experts. It spells bad news for Venezuela, which relied heavily on Chinese finance. More
In 1998, Ntsiki Biyela won a scholarship to study wine making. Now she's about to launch her own brand. More
U.S. Labor Secretary Tom Perez writes about why the Labor Department introduced a new rule requiring federal contractors to provide paid sick leave to workers. More