Treasury prices are rising as early enthusiasm wanes for a deal to shore up Spanish banks.
In late Monday trading, the 10-year note is up 15.6 cents for every $100 invested. The yield has fallen to 1.59 percent, down from 1.64 percent in late Friday trading.
Over the weekend, European countries pledged up to $125 billion in loans to Spain to help rescue its banks. The news sent stock markets up and Treasury prices down early Monday. But markets quickly reversed.
One concern is that the loan to Spain will increase the government's debt burden. The loan may also take precedence over other government debt. Both could push borrowing costs up for Spain, making it harder to raise money from bond markets.