The WSJ reports:
A fresh batch of Treasurys up for sale this week sent prices on long-end Treasury futures lower Monday, sending anticipated yields higher even as investors sought safety from falling stocks.
Futures contracts on 30- and 10-year Treasurys declined as the U.S. government announced that it will sell $59 billion in 10-year notes, 10-year Tips and three-year notes in coming days, the latest debt issuance as the government seeks to fund a bevy of financial rescue efforts.
"This is the Treasurys looking at the supply we have coming in this week," Lesh said. "If we didn't have equities down the way they are, I'd imagine the 10-years would be worse."
The impending glut of new Treasurys canceled out investors' renewed trepidation around the prospects of big banks and general wariness around first-quarter earnings reports, which begin this week.