TREASURIES-U.S. Treasury prices up slightly ahead of data

By Daniel Bases

NEW YORK, May 4 (Reuters) - U.S. Treasuries prices were

modestly higher on Monday, hewing to narrow ranges on a

combination of consolidation from last week's sharp decline and

low trading volumes given holidays in Tokyo and London.

A data-packed week in the United States begins with factory

orders on Monday, followed by updates on the critical services

sector, the ADP national employment index, weekly jobless claims

and finally the U.S. jobs report for April.

Recent U.S. economic data have shown a moderating growth

rate, injecting some doubt as to when the U.S. Federal Reserve

will finally lift U.S. interest rates off of their zero-bound

level.

"A lot of U.S. data this week and I've been thinking the

front-end will be more informative, because if you do get a

pickup in data over this week, then that implies a September

hike is not out of the question," said Priya Misra, rates

strategist at Bank of America Merrill Lynch in New York.

"If data comes in stronger than expected this week, then 10

years will sell off, but much less than the front-end. The

front-end looks more mispriced and that's where the catch-up

will be felt more. We are looking for a rebound in data," she

said.

U.S. factory orders data for March is due at 1000 EDT/1400

GMT and expected to show a rise of 2.0 percent, according to a

Reuters poll of economists.

Ahead of the report, the benchmark 10-year U.S. Treasury was

up 3/32 of a point in price. The yield, which moves in the

opposite direction, fell to 2.10 percent. The

yield is off its earlier seven-week high.

The 30-year Treasury bond was up 3/32 of a point in price,

with the yield down to 2.82 percent.

The 2-year Treasury note was unchanged at 0.59 percent

.

While Tokyo is closed for Golden Week holidays and London's

market is shuttered for the early May bank holiday, trading in

continental Europe has the German bund yield rising above 0.40

percent.

A surprise pick-up in German inflation and the first rise in

private lending in the euro zone for three years confirmed to

some investors that the European Central Bank's trillion euro

quantitative easing program was having an impact.

(Reporting By Daniel Bases; Editing by Meredith Mazzilli)