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US Treasury yields slide after jobs report miss

Bond traders at CME Group
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U.S. government debt prices rose on Friday as investors digested a U.S. jobs report that missed expectations.

The yield on the benchmark 10-year Treasury note traded lower at 1.701 percent, while the yield on the 30-year Treasury note was also lower, at 2.513 percent. Two-year yields also fell, last trading at 0.768 percent.

The benchmark yield also hit its lowest level since May 16, while 30-year bond yields dropped to their lowest level since April 7.

Job creation tumbled in May, with the economy adding just 38,000 positions.

The Labor Department also reported Friday that the headline unemployment fell to 4.7 percent. That rate does not include those who did not actively look for employment during the month or the underemployed who were working part-time for economic reasons.

Symbol
Yield
 
Change
%Change
US 3-MO
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US 1-YR
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US 2-YR
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US 5-YR
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US 10-YR
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US 30-YR
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The ISM non-manufacturing index for may came in at 52.9, while factory orders posted their largest gains in six months.

Meanwhile, investors will also be reacting to the latest comments from Federal Reserve speakers with Charles Evans, the Chicago Federal Reserve president, telling CNBC that there could be two rate hikes in 2016 if data continue to be favorable.

"Two rate hikes in 2016, that's my own call for that, if the data continue to be in line with my outlook, that's a slow and gradual increase this year," Evans, who is an alternate member of the FOMC (Federal Open Market Committee), said.

"Timing's not really that important, you mentioned possibly two summer hikes, that would be a little bit more than I'd say is … priced in to the dots certainly and the market expectations," Evans added.

—CNBC's Jeff Cox contributed to this report.