The Federal Reserve is scheduled to purchase as much as $20.5 billion of Treasurys through Aug. 23, while the government won't sell any notes until the auction of five-year Treasury Inflation Protected Securities on Aug. 22.

 "Investors are putting bonds back in their portfolios because the market has stabilized," said Thomas di Galoma, head of U.S. rates sales at ED&F Man Capital Markets. "The Fed’s going to be buying back securities for the next 11 days before we have any supply."