The yield on the US 10-year Treasury note held around 4.18% on Thursday, sustaining its rebound from the previous session amid stronger-than-expected US jobs data, which tempered expectations for near-term Federal Reserve rate cuts. Wednesday’s report showed payrolls rising by 130,000 in January, the largest gain in over a year, while the unemployment rate unexpectedly fell to 4.3%, highlighting a stabilizing labor market at the start of 2026. The robust data reinforced Fed officials’ inclination to keep rates on hold, with markets now pricing the next rate cut for July instead of June. Still, traders continue to anticipate roughly 50 bps of total easing by year-end. Attention now turns to Friday’s January CPI report for fresh insights into inflation trends.
