U.S. Treasury yields held near session highs on Wednesday as stronger-than-expected data on domestic factory and construction spending supported the view the U.S. economy is back on track following weakness in the first quarter.
The Institute for Supply Management said its index of national manufacturing activity rose to 53.5 in June, the highest level since January.
The government said construction spending rose 0.8 percent in May to its highest level in just over 6-1/2-years.
The yield on benchmark 10-year Treasury notes rose about 7 basis points to 2.42 percent, in reach of its 2.44 percent session high. The yield on the 30-year bond stood at 3.21 percent, slightly off a session high of 3.22 percent.
Treasury yields gained momentum earlier on rising hopes of a Greek bailout deal, following a leaked letter from the Greek prime minister to its international lenders.
The letter, first published by the Financial Times newspaper, suggested that Greek Prime Minister Alexis Tsipras would finally accept all the demands proposed by its creditors over the weekend.