Treasury prices retreated Friday after several upbeat reports indicated the economy might be doing better than expected, leading investors to shift money out of fixed-income investments and into stocks.

The Commerce Department issued reports on housing and orders of big-ticket items that beat forecasts, while a survey indicated consumers were more optimistic than expected in the first part of July. That led investors to take money out of the relative safety of government debt.

In late trading, the 10-year Treasury note fell 26/32 to 98 6/32. Its yield rose to 4.10 percent from 4.00 percent on Thursday, according to BGCantor Market Data. Yields move in the opposite direction from prices.

The 30-year long bond fell 1 12/32 to 94 31/32. Its yield rose to 4.69 percent from 4.60 percent Thursday.

The 2-year note fell 7/32 to 100 2/32, and yielded 2.71 percent, up from 2.61 percent.

The 3-month Treasury bill's yield rose to 1.72 percent from 1.63 percent on Thursday, and the discount rate rose to 1.70 percent from 1.61 percent.

Joel Marver, a Treasury technical analyst at Thomson Reuters, said Treasurys could be poised for further declines next week when more key data arrives. He said the bond market is in "a sweet spot in terms of critical data," with investors awaiting reports on gross domestic product, jobs, consumer spending and the manufcturing sector.

"The market wants to form a strong opinion of where we're going," he said. "We're playing the range in a painful way and it looks like there is risk of some follow through."

Treasurys fell Friday after Commerce Department said June sales of new single-family homes fell by 0.6 percent to a seasonally adjusted annual rate of 530,000 units; the market expected sales to total 505,000. That report helped offset concerns raised by a weak reading on existing home sales on Thursday.

There was also good news about consumers after the Reuters/University of Michigan index of consumer sentiment for the first part of July came in at 61.2, while economists forecast a reading of 56.4, which was the level hit in June _ a 28-year-low.

Meanwhile, the Commerce Department also said orders for durable goods rose 0.8 percent last month, far better than the 0.4 percent decline economists expected. It was the best showing since a 1.1 percent rise in February and reflected strength in demand for heavy machinery, primary metals such as steel and even a slight rebound in the beleaguered auto industry.