From Yahoo Finance: 2025-06-05 12:27:00

Treasury yields rose as European bond selloff overshadowed US labor market data. ECB’s rate-cut decision and Fed’s potential actions led to yield divergence. US jobless claims spiked, hinting at Fed rate cuts. Market pricing shows ECB-Fed rate-cut gap. Trump-Xi call eased trade tensions. Market rally followed weak job-market indicators.

Bond-market momentum waned after Trump-Xi call. Treasury yields higher after erasing declines. ECB hints at end of policy cycle, boosts euro-zone yields. Market reacts to jobless claims data, anticipating Fed rate cuts. US economy slowing, prompting potential rate cuts. Yields expected to trade in 4.25%-4.75% range despite softening data.

Market rally sparked by weak job growth indicator. Futures data suggest new long positions. Treasury yields impacted by jobless claims data. Friday’s employment data expected to show modest growth. US bonds struggle with fiscal outlook concerns. Moody’s downgrade and tax cut bill contribute to yield volatility.

Read more: Treasury Rally Stalls as ECB Sparks Euro-Zone Bond Selloff