Bonds extend losses after 10Y note auction

U.S. government bond prices extended losses slightly on Tuesday after a tepid $8 billion auction of reopened 10-year Treasury notes.

The auction had a bid-to-cover ratio, an indication of demand, of 2.55, below recent averages.

The benchmark 10-year note's price traded down 16/32 for a yield of 5.24 percent , versus 5.23 percent before the sale and compared with 5.17 percent late on Monday. Bond yields and prices move inversely.