Interest rates rise on positive economic data

NEW YORK (AP) — Interest rates climbed in the bond market today as positive data on durable goods orders and home sales raised expectations about the U.S. economy.

The improved economic news from the Commerce Department helped reassure investors that the recovery is continuing. Stocks rose, with the Dow Jones industrial average up about 20 points in afternoon trading, reducing demand for safe investments like Treasurys.

The yield on the 10-year Treasury note maturing in May 2020 rose to 3.24 percent in afternoon trading from 3.16 percent late Tuesday. Its price fell 53.125 cents to $102.1875. Bond yields rise when their prices fall.

The yield on the 30-year bond rose to 4.13 percent in afternoon trading from 4.06 percent late Tuesday. The price of the 30-year bond that matures in May 2040 fell 93.75 cents to $104.15625.