MW: Euro turns up, Treasurys fall on Greece deal hopes
By Deborah Levine
NEW YORK (MarketWatch) -- Treasury prices fell on Friday, pushing yields up, and the euro extended gains after turning higher in the European session, as investors breathed a sigh of relief that the continent's political leaders appear more likely to agree on a way to help Greece bear its debt burden. German Chancellor Angela Merkel said Friday that a new aid program is needed for Greece and the participation of the private sector in it should be voluntary. "The U.S. bond market is weaker overnight as a Vienna style roll comes to fruition -- headlines overnight cite Sarkozy and Merkel endorsing such a solution," said bond strategists at CRT Capital Group. "That endorsement is a big deal. And the deal itself looks to be large." Yields on 10-year notes 10_YEAR +0.72% , which move inversely to prices, rose 4 basis points to 2.98%. The euro EURUSD +0.50% rose to $1.4274, down from $1.4197 in late North American trading Thursday. The dollar index DXY -0.40% , which measures the performance of the U.S. unit against a basket of six currencies, slipped to 75.169 from 75.476 Thursday. The main U.S. economic report of the day will be one on consumer sentiment due out around 10 a.m. Eastern time.
