Treasuries fell across the curve this morning after the release of better than expected jobs report for July. The UST10-Year yield is currently at 2.269% after closing at 2.222% prior.
The July employment report came in above expectations across the board as Nonfarm Payrolls showed an increase of 209k versus an estimated increase in jobs of 180k per consensus; June's data was also revised higher from 222k to 231k. Private Payrolls gained 25k more than expected at 205k versus 180k per consensus, and Manufacturing Payrolls increased by 16k versus an expected 5k gain per consensus. The Unemployment Rate was little changed at 4.30% as expected, which dropped from 4.40% in June. Employment increased in food services and drinking places, professional and business services, and health care.
After the recent disappointing earnings data, July's solid labor report showed some stability that could boost the confidence for the hawks of the Committee to continue the path for monetary policy tightening. Average Hourly Earnings grew 0.30% MoM as expected, up from June's 0.20% gain, and Average Hourly EarningsYoY remained steady at 2.50%, which was better than the expected 2.40% gain per consensus.
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The July employment report came in above expectations across the board as Nonfarm Payrolls showed an increase of 209k versus an estimated increase in jobs of 180k per consensus; June's data was also revised higher from 222k to 231k. Private Payrolls gained 25k more than expected at 205k versus 180k per consensus, and Manufacturing Payrolls increased by 16k versus an expected 5k gain per consensus. The Unemployment Rate was little changed at 4.30% as expected, which dropped from 4.40% in June. Employment increased in food services and drinking places, professional and business services, and health care.
After the recent disappointing earnings data, July's solid labor report showed some stability that could boost the confidence for the hawks of the Committee to continue the path for monetary policy tightening. Average Hourly Earnings grew 0.30% MoM as expected, up from June's 0.20% gain, and Average Hourly Earnings YoY remained steady at 2.50%, which was better than the expected 2.40% gain per consensus.
The curve has bear-steepened with the UST 10-Year up 4.7 bps from prior closing.
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