TREASURIES-Slip before U.S. jobs data, debt supply
TOKYO, Nov 6 (Reuters) - Longer-dated U.S. Treasuries slipped in Asia on Friday on caution before key U.S. jobs data later in the day and a record amount of bond supply next week.
* Gains in Asian shares also sapped investor demand for government debt, dealers said. Tokyo's Nikkei average .N225 rose 1.1 percent and the MSCI index of Asian stocks excluding Japan .MSCIAPJ climbed 1.7 percent.
* Analysts polled by Reuters forecast U.S. employers cut 175,000 jobs from their payrolls in October, fewer than the 263,000 jobs lost in September. The unemployment rate is seen at 9.9 percent, compared with a 9.8 percent rate the previous month. The data is due at 1330 GMT on Friday. [ID:nN03495528] [ECI/US]
* A fund manager at a Japanese asset management firm said there could be a temporary easing in selling pressure on longer-dated Treasuries if the jobs data is worse than expected, especially if the jobless rate reaches 10 percent. But that would be only temporary as the market has priced in a higher jobless rate to some extent, he said.
* Concerns over refunding next week also weighed on longer-dated notes, market watchers said. The Treasury will auction $40 billion in three-year notes, $25 billion in 10-year notes and $16 billion in 30-year bonds next Monday, Tuesday and Thursday respectively.
* Ten-year Treasuries note futures TYv1 inched down 0.5/32 to 118-02/32 and benchmark 10-year notes edged down 2/32 in price to yield 3.535 percent US10YT=RR, up one basis point from late U.S. trade on Thursday.
* Two-year notes were steady in price to yield 0.893 percent US2YT=RR, and 30-year bonds dipped 5/32 in price to yield 4.409 percent US30YT=RR, up one basis point.
* Other possible market leads include U.S. wholesale inventories for September and consumer credit for the month due later Friday. ECONUS (Reporting by Kaori Kaneko; Editing by Michael Watson)
