Treasury yields rose on Thursday as investors remained focused on a key jobs report.
The yield on the benchmark 10-year Treasury note climbed 3 basis points to 1.798%. The yield on the 30-year Treasury bond gained 4 basis points at 2.134%. Yields move inversely to prices and 1 basis point is equal to 0.01%.
The closely watched non-farm payrolls report is due out on Friday morning. Economists expect that 150,000 jobs will have been added in January.
Ahead of the Friday report, investors digested weekly jobless claims that came in a bit less than expected as companies looked to overcome the impact of the omicron spread.
Claims for the week ended Jan. 29 totaled 238,000, a touch lower than the 245,000 Dow Jones estimate, the Labor Department reported Thursday.
“We’ll be eager to see the extent to which labor force participation improves as we receive an update on workers’ willingness to reengage in the jobs market at this point in the pandemic,” Ian Lyngen, BMO’s head of U.S. rates, said in a note.
“The realities of omicron and the spike in covid cases seen in January obviously run as a counterforce to any reopening optimism that might otherwise have emerged with the new year – at least for the time being,” he added.
Meanwhile, Markit is due to release its final composite and services purchasing managers’ index readings for January at 9:45 a.m. ET on Thursday. ISM’s January non-manufacturing PMI is then slated for release at 10 a.m. ET.
December’s factory orders data is set to come out at 10 a.m. ET.
Auctions are scheduled to be held on Thursday for $50 billion of 4-week bills and $40 billion of 8-week bills.
— CNBC’s Fred Imbert and Tanaya Macheel contributed to this market report.
