Treasury Yields Rise After Jobs Report
2026-09-04 13:05
By
Joana Taborda
1 min. read
The yield on the US 10-year Treasury note rose nearly 3 basis points to 4.79% on Friday, reversing declines in the previous two sessions following a stronger-than-expected jobs report.
The US economy added 162K jobs in August, well above forecasts of 56K, while figures for the previous two months were also revised slightly higher.
The report prompted investors to ramp up bets on a Fed rate hike, with markets now pricing in a nearly 52% chance of a 25bps increase in the federal funds rate this month.
Earlier in the week, bonds sold off following a surge in oil prices and a pledge from Fed Chair Warsh to tame inflation, before recovering after Governor Waller said he would support keeping rates unchanged if inflation continues to move toward the 2% target.
Still, the Fed’s September decision remains highly uncertain for investors, with inflation data due next week expected to provide further clues on the central bank’s next move.