Mortgage bonds fell less than U.S. Treasury notes Friday amid optimism that lending rates will rise soon enough to halt an anticipated flood of homeowner refinancings.

The 10-year Treasury yield, which often indicates which way mortgage rates are moving, rose 8 basis points to 6.15%, the highest level in nearly a month. Yields climbed 19 basis points in the week, quieting the prepayment concerns of many investors.

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