US 10-Year Yield Climbs Ahead of Jobs Data

The yield on the 10-year US Treasury note rose to around 4.25% on Tuesday, extending gains for a second session as investors returned from the holiday weekend and looked ahead to key labor market data this week that could shape the Federal Reserve’s policy outlook. Focus is on Friday’s August payrolls report, along with unemployment, job openings, and private hiring figures. Treasury yields have come under pressure recently as markets increased bets on Fed rate cuts despite persistent inflation, with traders assigning nearly a 90% chance of a 25 basis point reduction later this month. San Francisco Fed President Mary Daly said Friday the central bank is prepared to lower borrowing costs given labor market risks, while noting tariff-driven inflation could prove temporary. Meanwhile, concerns over Fed independence linger amid President Donald Trump’s push to remove Fed Governor Lisa Cook.