Bond Market Update

Solid Jobs Report Weighs

• U.S. Treasuries trade on their lows after retreating in reaction to the Employment Situation report for April (177,000; Briefing.com consensus 130,000), which showed above-consensus payroll growth and a smaller-than-expected increase in average hourly earnings (0.2%; Briefing.com consensus 0.3%). Thanks to the recent selling, yields are now up for the week while equities are on course for a firmly higher start.
• Yield Check:
  • 2-yr: +8 bps to 3.78%
  • 3-yr: +9 bps to 3.77%
  • 5-yr: +8 bps to 3.89%
  • 10-yr: +6 bps to 4.29%
  • 30-yr: +5 bps to 4.79%