U.S. Treasury yields were little changed Thursday after labor-market data showed the economy was continuing to make a steady recovery.
What are Treasurys doing?
The 10-year Treasury note yield
TMUBMUSD10Y,
fell a basis point to 0.936%, while the 2-year note yield
TMUBMUSD02Y,
edged 0.6 basis down to 0.158%. The 30-year bond yield
TMUBMUSD30Y,
slipped 2 basis points to 1.694%.
What’s driving Treasurys?
Economic data pointed to the improving employment backdrop, even as the jobless rate remains stubbornly high. U.S. weekly jobless claims slipped to 712,000 in late November from 787,000, while continuing claims fell to 5.52 million from 6.09 million.
The data will be followed on Friday by the U.S. Labor Department monthly employment report which is expected to reveal 438,000 job gains in November, following a 638,000 increase in the previous month.
In other U.S. economic data, the Institute for Supply Management will issue its index of services sector activity in November at 10 a.m. ET.
What did market participants say?
“Moderating job gains is not ideal. But within the confines of the pandemic, the direction to us is more important. In other words, moderating job gains in and of itself is not necessarily a bad thing, so long as we keep the direction positive and moving along,” said Gregory Faranello, head of U.S. rates at AmeriVet Securities, in reference to the forecasted job gains in November.
