By Sam Goldfarb
U.S. government-bond prices fell Friday after better-than-expected Chinese economic data helped sap demand for safer assets.
In recent trading, the yield on the benchmark 10-year U.S. Treasury note was 2.549%, according to Tradeweb, compared with 2.503% Thursday.
Yields, which rise when bond prices fall, climbed overnight after new data showed Chinese banks increased lending in March, while Chinese exports also rose after declining in February.
Chinese banks issued 1.69 trillion yuan ($251.5 billion) of new yuan loans last month, according to data released Friday by the People's Bank of China. That was up sharply from CNY885.8 billion in February and above the CNY1.25 trillion forecast by economists surveyed by The Wall Street Journal.
Investors pay close attention to China because it plays such a large role in dictating economic growth around the world.
"Today is obviously a risk on day," said Daniel Mulholland, head of U.S. Treasury trading at Crédit Agricole. Chinese data, he added, "was the initial catalyst," as it helped ease recent concerns about the global growth outlook.
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