TOKYO, March 15 U.S. Treasuries were flat in
Asia on Friday, stabilising after having dipped a little the
previous day as solid jobless claims data brightened the U.S.
economic outlook further.
* The 10-year notes yield stood at 2.035 percent
, little changed from late U.S. levels. It rose as
high as 2.0682 percent on Thursday after the initial claims
* The jobless claims dropped 10,000 to a seasonally adjusted
332,000 last week, despite economists' consensus forecast of a
rise to 350,000. The closely-watched four-week moving average
fell to a five-year low.
* Still, traders say losses in Treasuries were limited, even
with Wall Street shares at record levels, as the Fed's massive
bond buying leaves investors chasing fewer bonds available in
* "I think a lot of people have short positions given
optimism on the U.S. economy but they are not working very
well," said at trader at a Japanese bank.
* Traders say 10-year cash notes will attract investor
demand above two percent in yield while the 10-year notes
futures has a strong support at 130. The futures last
stood at 130-15/32, almost flat on day.
* The near-term focus is a raft of U.S. economic data due
later in the day, including consumer prices at 1230 GMT,
industrial output at 1315 GMT and consumer sentiment at 1355
* Economists see annual consumer price inflation rising to
1.9 percent in February from 1.6 percent. They also expect a
slight improvement in both output and consumer prices from the