By Deborah Levine
SAN FRANCISCO (MarketWatch) -- Treasury prices rose on Tuesday, pushing yields down, as some investors had expected Spain to request aid from the euro zone already, and as anti-Japanese protests in China over disputed islands weighed on investors willingness to stay in riskier assets. "Treasurys are higher this morning as tensions over Chinese-Japan relations and Spain's aid decision support prices," said bond strategists at RBS Securities. Yields on 10-year notes 10_YEAR -2.60% , which move inversely to prices, fell 5 basis points to 1.80%. The U.S. dollar also extended gains, pushing the euro EURUSD -0.44% down to $1.3064, from $1.3094 the previous session. The ICE dollar index DXY +0.25% , which tracks the greenback against a basket of major currencies, rose to 79.106, from 79.045 in late trading on Monday.
