Updated
Updated · Bloomberg · Jun 3
Treasuries Drop as 10-Year Yield Climbs to 4.49% After ADP Jobs Data
Updated
Updated · Bloomberg · Jun 3

Treasuries Drop as 10-Year Yield Climbs to 4.49% After ADP Jobs Data

3 articles · Updated · Bloomberg · Jun 3

Summary

  • The 10-year Treasury yield rose nearly 5 basis points to 4.49%, putting Treasuries on track for their biggest daily loss in more than two weeks.
  • ADP private-sector employment growth came in roughly in line with estimates, reinforcing expectations that the Federal Reserve will still raise interest rates this year.
  • That move interrupted a recent Treasury rally that had produced only one prior daily yield increase since May 19.
  • The earlier bond gains were driven by falling oil prices, as markets anticipated a Middle East peace accord could unlock additional regional supply.

Insights

With oil shocks now eclipsing job data, are US interest rates hostage to foreign conflicts?
As rising oil prices weaken government bonds, where can investors find a true safe haven asset now?
Can depleted global oil reserves be refilled fast enough to tame inflation, even with a Mideast peace deal?