Treasuries Surge as Weak Jobs Reports Pushes Back Fed Outlook
Gross Is Very Bullish on Treasuries
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Treasuries surged, sending yields to two-month lows, after a report showed the economy added the fewest jobs since December 2013, damping the outlook for the timing of interest-rate increases by the Federal Reserve.
Futures showed traders pushed out expectations for central bank to begin tightening monetary policy into next year. The 126,000 increase in March was weaker than the most pessimistic forecast in a Bloomberg survey. Traders had speculated that the Fed could raise rates as soon as September with strength in the labor market offsetting weakness elsewhere.