investors await key jobs data

US Treasury yields fell Friday as investors awaited key jobs data that could affect future interest rate decisions from the Federal Reserve.

At 4:28 am ET, the 10-year Treasury was trading at 3.8354% after falling nearly nine basis points. The yield on the 2-year Treasury fell more than seven basis points to 4.8285%.

Yields and prices move in opposite directions and one basis point equals 0.01%.

Treasure Chests

US1M 1 month US Treasury 4.727% +0.003 0.00%
US3M US Treasury at 3 months 5.013% +0.003 0.00%
US6M US Treasury at 6 months 5.25% -0.034 0.00%
US1J US Treasury at 1 year 5.154% -0.028 0.00%
US2Y US Treasury at 2 years 4.839% -0.061 0.00%
US10Y US Treasury at 10 years 3.857% -0.066 0.00%
US30Y US Treasury of 30 years 3.824% -0.046 0.00%

Several key job data points are expected on Friday. That includes February’s Nonfarm Salary Report, which tracks how many jobs the economy has created or lost. According to a Dow Jones survey, economists expect 225,000 jobs to be added during the month.

The February unemployment rate will also be released, with surveyed economists expecting no change from January’s level of 3.4%.

Since a tight labor market is often associated with high levels of inflation, investors will look to the data for hints about the state of the US economy.

The Fed has raised interest rates in an effort to cool the economy, including the labor market, and reduce inflation. The fresh data could therefore also provide clues about the impact of the central bank’s monetary policy.

That comes as investors ponder the Fed’s next rate policy moves. Many expect the central bank to ramp up the pace of rate hikes again, announcing a 50 basis point hike at its next meeting later this month.

Speaking before Congress earlier this week, Fed Chair Jerome Powell indicated that such decisions depend on data.

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