Treasuries Little Changed as Index Shows Accelerating U.S. Factory Growth

(Bloomberg) -- Treasuries were little changed as a
private index showed U.S. manufacturing growth accelerated last
month to the highest in 14 months.

``Despite the move higher in rates and wider spreads and
increased capital costs, the economy is still showing signs of
strength,'' said James Caron, head of U.S. interest rate
strategy in New York at Morgan Stanley. ``The economy isn't
falling apart even with higher rates.''


Read more at Bloomberg Bonds News

UPDATE 1-Mexican markets down on soft U.S. economic data

(Reuters) - The peso gave up 0.42 percent to 10.8750 per
dollar, while the benchmark IPC stock index slipped 1
percent to 30,445 points.




The U.S. government report showed new orders for
long-lasting manufacturing goods fell more than expected in
May, suggesting the U.S. manufacturing sector may be weaker in
the second quarter than expected.


Read more at Reuters.com Bonds News

UPDATE 1-U.S. May durable goods orders fell 2.8 percent

(Reuters) - WASHINGTON, June 27 - New orders for
long-lasting U.S.-made manufactured goods tumbled a
larger-than-expected 2.8 percent in May in a sign the
struggling U.S. manufacturing sector may be weaker in the
second quarter than expected.




The drop in durable goods orders was the first decline
since January and followed a 1.1 percent rise in April, the
Commerce Department said on Wednesday. Analysts polled by
Reuters were expecting orders to slip 1 percent.


Read more at Reuters.com Economic News