NEW YORK May 1 U.S. Treasury yields trimmed
gains on Monday after data showed U.S. consumer spending was
flat and inflation fell in March, in line with soft economic
growth in the first quarter.
Spending in the first three months of the year was limited
by a mild winter, which reduced demand for heating and
utilities. Economists had predicted a 0.2 percent rise in
Data also showed that inflation, as measured by the core
personal consumption expenditures (PCE) index, was subdued in
March, sliding 0.1 percent.
In early trading, benchmark 10-year U.S. Treasury notes
were down 1/32 in price to yield 2.283 percent,
lower than the 2.291 yield before the data's release.
U.S. 30-year bond prices slipped 3/32, yielding
2.956 percent, down from 2.963 percent before the report.
(Reporting by Gertrude Chavez-Dreyfuss; Editing by Chizu