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U.S. government debt prices were lower on Friday as investors digested the release of a better-than-expected jobs report.
The U.S. economy added 255,000 jobs last month, while economists expected a gain of 180,000 jobs. The unemployment rate remained unchanged at 4.9 percent.
The yield on the benchmark 10-year Treasury note sat higher at 1.5860 percent, while the yield on the 30-year Treasury bond was also higher at 2.3130 percent. Two-year note yields also rose, to trade at 0.7101 percent. A bond's yield moves inversely to its price.
Economists expect a solid 180,000 jobs were created in July and that wages rose modestly, following two months this spring where it looked as though hiring went from bust to boom.
The unemployment rate is expected to fall to 4.8 percent from 4.9 percent, according to Reuters.
The U.S. trade deficit rose to a 10-month high in June as rising domestic demand and higher oil prices boosted the import bill while the lagging effects of a strong dollar continued to hamper export growth.
The Commerce Department said on Friday the trade gap increased 8.7 percent to $44.5 billion in June, the biggest deficit since August 2015. May's trade deficit was revised slightly down to $41.0 billion.
Elsewhere on the data front, Friday will see consumer credit data released at 3:00 p.m. ET.
In oil markets, U.S. crude was at $41.87, down 0.14 percent.
—CNBC's Patti Domm contributed to this report