Treasury Yields, Dollar Cool Slightly After Jobs Rush

Dow Jones
09/05

1408 ET - Treasury yields lose momentum but remain elevated, buoyed by better-than-expected U.S. employment numbers. August's 162,000 print on job creation is three times as high as forecast, bumping odds of a hike to 60% from 49% yesterday, according to CME. Looking under the hood, however, some economists argue that soft wage increases means monetary tightening isn't a done deal. Moreover, inflation numbers due next week could still change rate expectations. The WSJ Dollar Index is just above flat, after rallying on the job numbers. The 10-year yield is at 4.768% and the two-year at 4.372%, both off post-payrolls highs.

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