Treasuries Set for Weekly Decline, Volatility Rises Before Jobs

Treasuries headed for their biggest weekly decline in a month as traders speculated whether the U.S. economy added sufficient jobs last month to prompt the Federal Reserve to withdraw monetary stimulus.

Benchmark 10-year yields advanced to the highest level in more than two months after reports yesterday showed jobless claims fell and the economy expanded at a faster pace than earlier estimated, bolstering the case for the Fed to reduce stimulus. U.S. employers added 185,000 workers, after hiring 204,000 in October, according to a Bloomberg News survey of economists before today’s Labor Department report.