Treasury prices rose Friday after a report showed the economy grew more slowly than first thought in the last three months of 2010.
The uprising in Libya and rising tensions in the Middle East have also pushed more investors into the safety of Treasurys.
The price of the 10-year Treasury note rose 34.37 cents per $100 invested on Friday. Its yield, which moves in the opposite direction, fell to 3.42 from 3.46 percent late Thursday.
The Commerce Department said the economy expanded at an annual rate of 2.8 percent in the October-December quarter. That's weaker than the previous estimate of 3.2 percent.
Meanwhile, the fighting between Libyan protesters and forces loyal to Moammer Gadhafi intensified. The unrest sent oil prices higher as concerns mounted that oil exports from the region would be compromised. Oil prices settled at $97.88, soaring 9 percent in the past week.
Bond prices have also risen for most of the month due to rising tensions in the Middle East. The yield on the 10-year note has fallen from 3.74 percent in the second week of February to 3.42 percent.
In other trading, the price of the 30-year Treasury bond rose $1.03 per $100 invested, while its yield fell to 4.50 percent from 4.55 percent late Thursday. The yield on the two-year note slipped to 0.73 percent from 0.74 percent.
In the market for short-term Treasury bills, the three-month T-bill paid a 0.12 percent yield. Its discount was 0.13 percent.