(Reuters) - U.S. Treasury prices fell on Friday ahead of the Labor Department's November non-farm payrolls report, as stock futures rose amid talk of a potential fix for the European financial crisis.
Talk circulating in the markets suggested that the European Central Bank might lend the International Monetary Fund money to help shore up the euro zone.
Today there is no European crisis, tomorrow there probably will be, said Raymond Remy, Treasury trader at Daiwa Securities in New York.
Benchmark 10-year Treasury notes traded 11/32 lower in price to yield 2.13 percent, up from 2.10 percent late Thursday.
The 30-year Treasury bond was off 27/32 in price and yielding 3.13 percent, up from 3.10 percent at Thursday's close.
The equity follow-through is continuing, said Rick Klingman, Treasury trader at BNP Paribas in New York.
Klingman said the new ECB loan talk was also helping drive safe-haven debt prices lower.
The Labor Department's payrolls report is due at 8:30 a.m. (1330 GMT). Analysts polled by Reuters expect the report to show an addition of 122,000 new jobs in November.