Bond yields drop as US jobs data takes tapering off the table

clock

Delayed US jobs figures for September have missed expectations, a development which all but rules out the prospect of a slowdown in US QE before 2014.

A mixed US non-farm payrolls update, delayed from earlier this month because of the Federal government shutdown, showed the US economy added 148,000 new jobs in September. That was below expectations of an 180,000 increase. Elsewhere, August's figure was revised upwards from 169,000 to 193,000, while the headline unemployment rate fell from 7.3% to 7.2%. But investors opted for a downbeat interpretation of the figures - a move which boosted appetite for bonds in the belief the US Federal Reserve will not opt to slow its asset purchase programme any time soon. Yields on benchmark...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Economics

Early Powell departure could be an 'unexpected gift' for EMs

Early Powell departure could be an 'unexpected gift' for EMs

Trump claims he will replace chair sooner

Eve Maddock-Jones
clock 01 July 2025 • 3 min read
BoE's Andrew Bailey: Pick-up in inflation makes outlook uncertain

BoE's Andrew Bailey: Pick-up in inflation makes outlook uncertain

UK inflation at 3.4%

clock 27 June 2025 • 2 min read
Jerome Powell warns of long term inflation if Trump settles on higher tariffs indefinitely

Jerome Powell warns of long term inflation if Trump settles on higher tariffs indefinitely

Policies' economic impacts ‘uncertain’

Eve Maddock-Jones
clock 25 June 2025 • 3 min read
Trustpilot