Treasury yields climb after blowout jobs report


U.S. government debt prices fell on Friday after data showed U.S. jobs growth easily topped expectations.


The yield on the benchmark 10-year Treasury note, which moves inversely to price, rose about 4 basis points to 1.8363% following the jobs report. The yield on the 30-year Treasury bond was also higher at around 2.2813%.

The jobs market turned in a stellar performance in November, with nonfarm payrolls surging by 266,000 and the unemployment rate falling to 3.5%, according to Labor Department numbers released Friday.

Those totals easily beat the Wall Street consensus. Economists surveyed by Dow Jones had been looking for solid job growth of 187,000 and saw the unemployment rate holding steady from October's 3.6%.

"Treasuries discretely sold off in response," Jon Hill, BMO's rates strategist said in a note on Friday. "We'd argue that the market reaction is somewhat muted, likely due to the myriad of major risk events in the next 10 days (FOMC, ECB, UK election, tariff deadline... etc)"

Investors also continue to monitor developments on U.S.-China trade.

On Thursday, President Donald Trump said the world's two largest economies were inching closer to a trade deal. His comments come as investors continue to closely monitor the prospect of a so-called "phase one" trade agreement, with less than 10 days to go before Washington is poised to impose even more tariffs on Chinese goods.

Dec. 15 is the date when tariffs on another $156 billion in Chinese goods will go into effect.

There are no U.S. Treasury auctions scheduled on Friday.

— CNBC's Sam Meredith contributed to this report.