Bond Brief: Risk Returns

Moreover, the Commerce Department said that February factory orders rose a less-than-expected 0.2%, vs. estimates for a 1.3% gain.

But there were also sign of economic strength in Friday's economic reports, with the Chicago PMI manufacturing index rebounding to a strong 60.4 in March from 54.9 the prior month, vs. estimates for a smaller gain to 57.

The new orders and production components both posted gains, and they are looked at to provide a forward reading on manufacturing activity.

Prices paid edged lower and employment rose. The upbeat report could mean that next Monday's national manufacturing index will show a robust gain as well.

The University of Michigan's consumer sentiment report for March was revised to show a 2.2 point rise to 88.9 vs. a previously reported flat reading.