U.S. government bond prices fell Thursday as European leaders reached an agreement on revamping their approach to the region's debt crisis.
The yield on the benchmark 10-year Treasury note edged back above 3 percent for the first time since July 8.
Top European officials agreed at a summit in Brussels to give new powers to a regional rescue fund. They also agreed to ease the terms on emergency loans to Greece, Ireland and Portugal. Investors are optimistic that the latest plan will be more effective than previous efforts at containing the region's debt crisis.
Bond prices fell as investors moved money into higher-risk assets like stocks. The 10-year note fell 65.6 cents per $100 invested late Thursday. Its yield rose to 3 percent from 2.93 percent late Wednesday. Bond yields rise when their prices fall.
The price of the 30-year Treasury bond fell 96.9 cents per $100 invested. Its yield rose to 4.31 percent from 4.25 percent. The yield on the two-year note rose to 0.40 percent from 0.39 percent.
The yield on the three-month T-bill rose to 0.03 percent from 0.01 percent. Its discount was 0.04 percent.