US Treasuries fall on strong durable goods data

NEW YORK, July 27 (Reuters) U.S. Treasury debt prices turned lower on Thursday after stronger-than-expected durable goods and jobless claims data.

The latest data suggest the economy might not be slowing as quickly as previously thought, which may prompt the Fed to raise interest rates again in August.

Durable goods rose 3.1 percent in June, compared with economists' expectations for a 1.8 percent increase and above the prior month's upwardly revised 0.3 percent rise.

Benchmark 10-year notes US10YT=RR fell 4/32 in price for a yield of 5.06 percent, versus 5.03 percent before the data and 5.04 percent late on Wednesday. Bond yields and prices move inversely.

Two-year notes US2YT=RR fell 7/32 in price to yield 5.07 percent, compared with 5.05 percent before the data and 5.08 percent on Wednesday.

REUTERS SBA ND2034