By David Randall
NEW YORK, Jan 5 (Reuters) - U.S. Treasury yields popped
higher Friday, continuing a week long sell-off, after the
closely watched non-farm payrolls report showed continuing
strength in the labor market.
Jobs have become a key focus as investors look to anticipate
the timing of the first interest rate cut by the Federal
Reserve. Persistent strength in the labor market threatens to
re-accelerate inflation, forcing the Fed to maintain or raise
rates after its most aggressive rate-hiking cycle since the
early 1980s.
The yield on 10-year Treasury notes was up 8.5
basis points at 4.076%. It had been up approximately 4 basis
points before the jobs report was released. The yield on the
30-year Treasury bond was up 8 basis points at
4.215%.
The two-year U.S. Treasury yield, which typically
moves in step with interest rate expectations, was up 8.4 basis
points at 4.466%.
January 5 Friday 8:35AM New York / 1335 GMT
Price Current Net
Yield % Change
(bps)
Three-month bills 5.2425 5.3983 0.003
Six-month bills 5.0775 5.2958 0.022
Two-year note 99-153/256 4.4642 0.082
Three-year note 100-94/256 4.2396 0.091
Five-year note 98-146/256 4.07 0.097
Seven-year note 97-252/256 4.0848 0.089
10-year note 103-108/256 4.0742 0.083
20-year bond 104-232/256 4.3772 0.082
30-year bond 109-8/256 4.2151 0.080
(Reporting by David Randall; Editing by Susan Fenton)