Reply To: Bond Traders Weekly Outlook: US Treasury Yields Surge After Blowout Jobs Report


Early Bonds: U.S. Treasuries modestly higher after three days of losses.
U.S. Dollar Index is up 0.2% at 102.46.

2-yr: -2 bps to 4.24%
3-yr: -1 bp to 3.94%
5-yr: -4 bps to 3.64%
10-yr: -3 bps to 3.52%
30-yr: -2 bps to 3.64%

The gains in Treasury futures took place alongside a weak showing from global equity markets after the release of a big batch of data. In Asia, China’s Manufacturing and Non-Manufacturing PMI readings returned into positive territory for the first time since September while Australia’s retail sales decreased for the first time in 12 months.

In Europe, the eurozone’s GDP avoided a Q4 contraction by a slight margin, but Germany’s December retail sales and France’s December consumer spending were well below expectations.

In other news, the International Monetary Fund raised its forecast for global growth in 2023 to 2.9% from 2.7% while cutting the outlook for 2024 to 3.1% from 3.2%.

The U.S. session will feature the release of a few economic reports, including the Employment Cost Index for Q4 (consensus 1.1%; prior 1.2%) and Consumer Confidence for December (consensus 108.1; prior 108.3).