Treasurys prices fell on Thursday as traders reduced their bond holdings in reaction to stronger-than-expected retail sales data that signaled fourth-quarter domestic growth might not be as weak as some had originally thought.
The Treasury auctioned $13 billion in 30-year bonds at a high yield of 3.900 percent. The bid-to-cover ratio, an indicator of demand, was 2.35.
This bond auction followed a poor $21 billion 10-year note sale on Wednesday and a solid $30 billion three-year note auction on Tuesday.
The supply wave will continue next week when the U.S. Treasury will sell $32 billion in two-year notes, $35 billion in five-year debt, $29 billion in seven-year notes and $16 billion in five-year Treasury Inflation-Protected Securities.