TREASURIES-US yields drop after bigger-than-expected fall in retail sales

NEW YORK, Feb 14 (Reuters) - U.S. Treasury yields fell on Friday after data showed retail sales in the world's largest economy tumbled in January, keeping the Federal Reserve on track to cut interest rates later this year.

Retail sales dropped 0.9% last month after an upwardly revised 0.7% increase in December, data showed. Economists polled by Reuters had forecast retail sales, which are mostly goods and are not adjusted for inflation, dipping 0.1%.

The benchmark U.S. 10-year yield slid 4.1 basis points to 4.484% US10YT=RR, while the two-year yield, which reflects interest rate expectations, dipped 3.7 bps to 4.274 US2YT=RR.