TREASURIES-Bonds pare price gains as stocks shed losses

NEW YORK | Wed Nov 5, 2008 10:12am EST

NEW YORK Nov 5 (Reuters) - U.S. Treasury debt prices pared gains on Wednesday as stocks shed some losses, sapping the safe-haven bid for government debt despite a weaker than expected services sector index.

Benchmark 10-year Treasury notes US10YT=RR were trading 3/32 higher in price for a yield of 3.71 percent from 3.73 percent late on Tuesday, while 2-year notes US2YT=RR_were flat in price for a yield of 1.38 percent. (Reporting by Chris Reese; Editing by Theodore d'Afflisio)

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