NEW YORK (MarketWatch) -- Treasury prices turned higher on Thursday after the Labor Department said 576,000 Americans filed initial claims for jobless benefits, more than economists expected. Yields on 10-year notes erased an earlier increase and fell 1 basis point to 3.44%, the lowest in a month. Yields move inversely to prices. Still to come are a report on manufacturing from the Philadelphia Federal Reserve and an index of leading economic indicators. Also, at 11 a.m. Eastern time, the Treasury will announce how much in 2-year (UST2YR 0.98, -0.04, -4.22%) , 5-year (UST5YR 2.40, -0.05, -2.04%) and 7-year notes it will auction next week.
