USA: Treasury Yields Rise.

The yield on the US 10-year Treasury note rose 4 basis points to 4.22% on Friday, partially retracing a 10bps drop in the previous session, as risk appetite returned to markets. On Thursday, weaker-than-expected US labour data raised concerns about the health of the economy and, alongside a tech sell-off and a sharp decline in crypto assets, prompted a flight to safety into Treasuries. Sentiment improved on Friday amid a rebound in technology stocks and preliminary data showing that the University of Michigan consumer sentiment index unexpectedly climbed to a six-month high. Looking ahead, investors will focus on the delayed US jobs report and the upcoming CPI release next week for further clues on economic momentum and the Federal Reserve’s policy outlook. Markets are now pricing in around 58bps of rate cuts by the Fed this year, up from about 50bps earlier in the week.