NEW YORK Jan 6 U.S. Treasury debt yields rose
on Friday after a report showed a rebound in U.S. wages despite
lower-than-expected jobs created last month, likely putting the
Federal Reserve on track to raise interest rates in the first
quarter of the year.
Non-farm payrolls increased by just 156,000 jobs last month,
compared with market forecasts of 178,000, the Labor Department
said on Friday.
But investors focused on average hourly earnings, which
increased 10 cents or 0.4 percent. That pushed the year-on-year
increase in average hourly earnings to 2.9 percent, the largest
increase since June 2009, from 2.5 percent in November.
In early morning trading, the U.S. 10-year note
was down 5/32 in price to yield 2.386 percent, compared with
2.368 percent late on Thursday.
U.S. 30-year bond prices fell 5/32, yielding 2.971 percent
, from Thursday's 2.963 percent.
U.S. two-year note yields were at 1.197 percent
from 1.178 percent on Thursday.
(Reporting by Gertrude Chavez-Dreyfuss)