Global government bond yields fall amid US jobs data release

Markets are now awaiting release of US ADP private-sector employment report and nonfarm payrolls data

Global government bond yields fell today, Sept. 4, as investors priced in data showing that the US economy recorded fewer job openings in July than expected.

The yield on the US 10-year treasuries declined by more than two basis points (bps) to 4.197%, while the 30-year yield fell by nearly the same level to 4.878%, as of 1:20 pm Makkah time.

In Europe, Germany’s 30-year bond yield dropped by 4 bps to 3.32%, while its French counterpart declined by 5 bps to 4.40%.

The spread between the two countries’ 10-year bond yields narrowed to 79 bps, down from 82 bps last week, Reuters reported.

Spain’s 30-year bond yield also fell by 5 bps to 4.19%, while Italy’s yield slipped by 6 bps to 4.62%, and Japan’s long-term bond yield edged down by about 2 bps to 3.270%.

Markets are awaiting the release of the US ADP private-sector employment report later today, followed by the nonfarm payrolls data on Sept. 5 — a key test for expectations that the Federal Reserve will move to cut interest rates this month.