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TREASURIES-U.S. yields turn flat after Aug personal spending data

NEW YORK, Sept 29 (Reuters) - U.S. Treasury yields turned flat on Friday, paring their initial rise, as data showed consumer spending grew a slim 0.1 percent in August as Hurricane Harvey, which hammered parts of Texas, likely bogged down auto sales.

At 8:35 a.m. (1235 GMT), the yield on benchmark 10-year Treasury notes was down 0.4 basis point at 2.303 percent, retreating from an earlier session peak of 2.323 percent, Reuters data showed. (Reporting by Richard Leong; Editing by Chizu Nomiyama)