US bonds rise after jobs data

NEW YORK (dpa-AFX) – US government bonds went into trading with price gains on Friday. The futures contract for ten-year bonds (T-Note Future) rose by 0.39 percent to 112.09 points at the start of trading. In return, the yield on ten-year government securities fell to 4.06 percent.

Bond securities received a boost from figures from US labor market. Employment increased more significantly in February than expected. However, the increases in the previous two months were revised downwards significantly. In addition, there is a rising unemployment rate and weaker wage growth.

The bottom line is that the markets were strengthened in their expectations of imminent interest rate cuts by the Federal Reserve. A first rate cut is currently expected in June. Monetary policy easing totaling around one percentage point is priced in for 2024./bgf/jsl/mis