U.S. Treasury yields on longest rising run since early Feb

LONDON, Aug 10 (Reuters) - The longest rising run since early February pushed U.S. 10-year Treasury yields to their highest in over three weeks on Tuesday, as Federal Reserve tapering talk took hold.

Friday's stronger-than-expected U.S. jobs report and other signs of an improving labour market have prompted investors to rethink the outlook for U.S. monetary policy, halting recent sharp falls in both U.S. and European bond yields.

The 10-year Treasury yield rose to as high as 1.336% in London trade, its highest level in more than three weeks .

It is currently up for a fifth straight session and set for the longest daily rising streak since end January/early February which kicked off a sharp rise which took yields from 1% to almost 1.8%.

On Monday, two Fed officials said the U.S. economy was growing rapidly and that while the labour market still had room for improvement, inflation was already at a level that could satisfy one leg of a key test for the beginning of rate hikes. (Reporting by Dhara Ranasinghe; editing by Marc Jones)

Copyright © Reuters 2008. All rights reserved. Republication or redistribution of Reuters content, including by caching, framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters and the Reuters sphere logo are registered trademarks and trademarks of the Reuters group of companies around the world.

News, commentary and research reports are from third-party sources unaffiliated with Fidelity. Fidelity does not endorse or adopt their content. Fidelity makes no guarantees that information supplied is accurate, complete, or timely, and does not provide any warranties regarding results obtained from their use.