TREASURIES-Prices dip with higher stocks ahead of auction

* Higher global stocks sap bonds' safe-haven appeal

* Fed official says stimulus program should be extended

* Treasury auctions begin with $44 bln of 2-year notes (Adds analyst's quote, yield curve data)

By Chris Reese

NEW YORK, Nov 23 (Reuters) - U.S. Treasury debt prices eased on Monday, with investors preparing for another huge dose of supply this week and as higher stocks sapped the safe-haven appeal of government debt.

Stocks were boosted in part by a weaker dollar and suggestions from a Federal Reserve official that fiscal stimulus should be maintained beyond what was originally planned.

St. Louis Fed President James Bullard said on Sunday night that the central bank should keep alive its mortgage-related asset purchase program beyond a planned end date. [ID:nN22246631]

"Stocks are up globally, fueled by positive data and policy comments suggesting that stimulus will remain in place," said T.J. Marta, chief market strategist with Marta on the Markets LLC in Scotch Plains, New Jersey. He added that "in keeping with the generally positive attitude, government bond yields have risen."

Investors were also looking to cheapen Treasuries ahead of the sale of $118 billion of notes this week. The auctions will kick off on Monday afternoon with the sale of $44 billion of two-year paper.

Ahead of the sale, benchmark 10-year Treasury notes US10YT=RR were trading 5/32 lower in price to yield 3.39 percent, up from 3.37 percent late on Friday, while 30-year bonds US30YT=RR were 12/32 lower to yield 4.32 percent, from 4.30 percent.

The bearish tone in Treasuries was fueled by data showing existing U.S. home sales rose in October to the highest in more than 2-1/2 years. Sales surged a record 10.1 percent to an annual rate of 6.10 million units from a 5.54 million unit pace in September. Analysts polled by Reuters had been looking for sales to rise to 5.70 million in October. [ID:nN23249040]

"The data is consistent with the theme that the economy is recovering and that the housing market has hit bottom," said Kim Rupert, managing director of global fixed income analysis at Action Economics LLC in San Francisco.

Two-year Treasury notes US2YT=RR were trading unchanged in price to yield 0.74 percent.

The price action on Monday steepened the U.S. Treasury curve, with the spread between yields on two-year notes and 10-year notes widening to 265 basis points from 263 basis points late on Friday. (Additional reporting by Burton Frierson; Editing by Dan Grebler) ((chris.reese@thomsonreuters.com; +1 646 223 6073; Reuters Messaging: chris.reese.reuters.com@reuters.net)) ((Multimedia versions of Reuters Top News are now available for: * 3000 Xtra: visit topnews.session.rservices.com * BridgeStation: view story .134 For more information on Top News: topnews.reuters.com)