Softer-than-expected US jobs data spurred a rally in bonds, lifting yields as traders reassess Fed rate-cut timing.
US Treasury yields remained elevated after Friday’s weaker-than-expected nonfarm payrolls report, which showed 150,000 jobs added in October, below the 180,000 consensus. The data reinforced expectations that the Federal Reserve may delay rate cuts, supporting higher yields.
The 10-year yield traded near 4.65%, up from 4.55% before the release. Prior to the report, yields had pulled back from multi-year highs as markets priced in a more gradual Fed pivot. The Dollar Index dipped initially but is expected to recover toward 101-101.50 next week.
Equity futures pointed to a cautious open, with investors weighing the implications of softer labor data against resilient economic growth.