U.S. Treasury prices rose on Tuesday, getting a lift from investors turning away from weakening Wall Street equities and reawakened geopolitical worries due to fighting in Iraq.
Gains were strongest among long maturities, with prices of 30-year Treasurys up 31/32 to yield 3.41 percent, down from Monday's 3.46 percent. Yields on the 30-year had earlier gone as low as 3.39 percent.
"The equity market has ticked down,'' said Charles Comiskey, head of Treasury trading at Scotia Bank in New York. "There's some news about some (air strikes) in Iraq ...."
Earlier, an Iraqi military spokesman said the government had carried out air strikes on a militant gathering in the town of al-Qaim near the Syrian border. A hospital official in Qaim said 17 people died in the strikes and 52 were wounded, a number that was impossible to confirm independently.
U.S. stocks, which ended a six-day rally last week, surrendered morning gains and turned down in early afternoon after the Standard & Poor's 500 index of top companies had touched a new all-time, intraday high. The Dow Jones index dropped more than 100 points in afternoon trading.
Wall Street prices had benefited from economic data showing rising house prices and increasingly confident consumers.