By Deborah Levine
NEW YORK (MarketWatch) -- Treasury prices extended losses in early trading on Thursday, pushing yields up for a third day, after the Labor Department said 457,000 Americans filed initial claims for unemployment benefits in the latest week, down 5,000. Yields on 10-year notes (UST10Y 3.31, +0.03, +0.79%) rose 7 basis points to 3.38%. A separate report showed third-quarter productivity rose 8.1%. Economists surveyed by MarketWatch had anticipated initial claims would increase to 480,000 and productivity would be revised to 8.5% from a previous estimate of 9.5%. Treasurys had been under pressure before the data as equities rallied on news that Bank of America (BAC 16.22, +0.57, +3.64%) would repay its bailout loan. Still to come is the Institute for Supply Management's report on the services sector and the Treasury Department's announcement of how much in debt it will sell next week.
