TREASURIES-Rise in Asia on U.S. economy outlook

TOKYO Aug 17 (Reuters) - U.S. Treasuries rose in Asia on Monday on concerns over the pace of economic recovery in the United States following weak data on U.S. consumer morale and tame inflation figures.

* Falls in Asian shares also supported Treasury prices, with Tokyo's Nikkei average .N225 down 2.6 percent and MSCI's broad measure of Asian stocks outside Japan falling 2.3 percent .MIAPJ0000PUS. The Shanghai Composite Index .SSEC fell 2.7 percent.

* "Although we've seen some positive economic figures from the U.S. recently, overall data is still patchy. The market has already priced in positive aspects of the economy and it has been reacting to more negative data," said Jun Kato, senior chief analyst at Shinkin Central Bank Research Institute.

* U.S. Treasuries rose on Friday after a report showed consumer sentiment ebbed in August for a second straight month and separate data showed consumer prices were flat in July, overshadowing positive news that industrial output in July grew for the first time in nine months. [ID:nN14304812]

* "The benchmark Treasury yield seems to have already hit its high for the current few months and will likely stay around 3.5 percent in the short-term," said Kato. The key 10-year Treasury yield brushed 3.89 percent last week, its highest since mid-June, but the yield has come down gradually since then.

* The benchmark 10-year note US10YT=RR rose 10/32 in price to yield 3.537 percent, down 4 basis points from late U.S. trade on Friday.

* Two-year bonds US2YT=RR were up 1/32 in price to yield 1.049 percent, down about 2 basis points. Thirty-year bonds US30YT=RR climbed 18/32 in price to yield 4.391 percent, down about 3 basis points.

* The market is looking to the New York Federal Reserve's Empire State Manufacturing Survey for August due at 1230 GMT on Monday. Economists in a Reuters survey expect a reading of 2.50 compared with -0.55 in July. [USEMPM=ECI] (Reporting by Kaori Kaneko; Editing by Joseph Radford)