NEW YORK: US Treasury yields fell to their lowest level in two weeks on Wednesday after a reading on US jobs data for April missed expectations, posting the weakest gain in three years, but yields pared those losses after an improvement in the US trade balance.
Private employers in the US added 156,000 jobs last month, well below economists' expectations and the weakest gain since April 2013, a report from payrolls processor ADP National Employment showed on Wednesday.
Economists surveyed by Reuters had forecast a gain of 196,000 jobs, with estimates ranging from 116,000 to 225,000.
Yields rebounded somewhat from their session lows after a separate report showed the US had cut its trade deficit to $40.4 billion dollars in March. The trade gap was expected to fall to $41.5 billion from $47 billion in February.
Imports fell to their lowest since 2010, the Commerce Department reported, pushing the deficit to its smallest since February 2015.
Benchmark 10-year Treasuries rose 11/32 in price to yield 1.78 percent, down around 2 basis points from late Tuesday. Yields on the 10-year note had fallen to 1.77 percent after the jobs data, the lowest since April 20.
Comments
Comments are closed for this article.