U.S. Treasury yields were up on Thursday as investors looked ahead to January’s nonfarm payrolls report.
At 4:11 a.m. ET, the 10-year Treasury yield was up more than two basis points to 4.4462%, and the 2-year Treasury yield rose more than two basis points to 4.2139%.
One basis point is equal to 0.01%, and yields and prices have an inverted relationship.
Treasurys
Investors are now looking ahead to the nonfarm payrolls report, which is due on Friday, and will provide clarity on how many people are employed in the U.S.
Economists polled by Dow Jones project that 175,000 jobs were added last month, and the unemployment rate is expected to have remained unchanged at 4.1%.
Investors are awaiting the latest weekly jobless claims report on Thursday and they will also monitor speeches from Federal Reserve governor Christopher Waller and Fed Bank of San Francisco President Mary Daly on Thursday.
On Wednesday, the ADP reported that private payrolls grew by 183,000 jobs in January, above the 150,000 gain predicted by economists polled by Dow Jones. It’s also up from the 176,000 jobs created in December.
Investors’ worries about tariffs have eased since Monday when U.S. President Donald Trump said he was slapping 25% tariffs on goods imported by Mexico and Canada, as well as a 10% levy on China.
However, Trump has since implemented a 30-day pause on tariffs on Mexican and Canadian goods, as both countries agreed to put in place measures to prevent the trafficking of opioid fentanyl into the U.S.
Meanwhile, China has retaliated with its own duties of up to 15% on U.S. liquefied natural gas and select products, which will be put into effect by Feb. 10.