U.S. government debt yields rose on Tuesday after a report showed that the manufacturing sector expanded faster than expected in August and the economy grew for the 112th straight month.
The Institute for Supply Management said its manufacturing index rose to 61.3 in August from 58.1 in July, the metric's fastest rate of expansion since 2004.
The report also found that new orders and employment picked up throughout the month, affording investors an upbeat sign for the economy at the start of a typically turbulent month on Wall Street.
The unemployment rate slipped below 4 percent this spring, with forecasters expecting strong economic growth this year thanks to Trump administration's tax cuts and elevated consumer sentiment.
The yield on the benchmark 10-year Treasury note was higher at around 2.9 percent at 3:19 p.m. ET, while the yield on the 30-year Treasury bond was up at 3.066 percent. Bond yields move inversely to prices.