* U.S. durables goods orders fall in February
* Messy Brexit talk spurs safe-haven demand for bonds
* U.S. 10-year yield above 2.50% Monday attracts buying
(Updates market action, adds quotes) NEW YORK, April 2 (Reuters) - U.S. Treasury yields fell on Tuesday with benchmark yields pulling back from one-week highs as a result of buying from bargain-minded investors and safe-haven demand on renewed worries about Brexit. A U.S. government report showing a decline in domestic durable goods orders in February supported the view that the U.S. economy was losing momentum in the first quarter, spurring bids for government securities. "The strength behind the Treasury market right now is evident when we reach certain support levels, like 2.50% on the 10-year note," said Kevin Giddis, head of fixed income capital markets at Raymond James in Memphis, Tennessee. Treasury yields retreated after posting their biggest single-day jump in three months on Monday, prompted by upbeat factory data in China and the United States. The reports from the world's two biggest economies ignited a rally in stock prices around the world and reduced the appeal of low-yielding bonds. "Yesterday was about better-than-expected numbers, today is about weaker-than-expected numbers with a technical twist," Giddis said. At 9:47 a.m. (1347 GMT), the yields on benchmark 10-year Treasury notes were 2.483%, down 1.4 basis points on the day. On Monday, it reached 2.5080%, the highest since March 22. The Commerce Department said on Tuesday that total orders for durable goods tumbled 1.6 percent in February, led by a 4.8 percent drop in demand for transportation equipment. They edged up 0.1 percent in January. Jitters about the world economy were also stoked by no breakthrough in negotiations for Britain to leave the European Union, analysts said. EU officials said on Tuesday the prospect of Britain leaving the economic bloc without a deal in 10 days time was growing as UK Prime Minister Theresa May summoned ministers to try to clinch approval for her deal, which has been rejected three times by lawmakers. May is expected to put her deal up for a vote again this week.
April 2 Tuesday 9:47AM New York / 1347 GMT Price
US T BONDS JUN9 148-10/32 3/3210YR TNotes JUN9 123-204/256 6/32Price Current NetYield % Change
(bps)
Three-month bills 2.38 2.428 -0.014Six-month bills 2.3825 2.4517 -0.002Two-year note 99-230/256 2.3024 -0.025Three-year note 100-86/256 2.2564 -0.031Five-year note 99-62/256 2.2865 -0.025Seven-year note 99-50/256 2.3756 -0.02510-year note 101-60/256 2.483 -0.01430-year bond 102-64/256 2.887 -0.003YIELD CURVE Last (bps) Net
Change (bps)
10-year vs 2-year yield 17.90 1.3030-year vs 5-year yield 60.00 3.20
DOLLAR SWAP SPREADS
Last (bps) Net
Change (bps)
U.S. 2-year dollar swap 11.75 -1.00
spread
U.S. 3-year dollar swap 8.75 -1.50
spread
U.S. 5-year dollar swap 4.50 -0.50
spread
U.S. 10-year dollar swap -0.75 -0.75
spread
U.S. 30-year dollar swap -24.50 -0.75
spread
(Reporting by Richard Leong; Editing by Jeffrey Benkoe)