By U.S. stocks opened on a negative note on Thursday following the revelation of a robust private sector job growth in June. The Dow Jones Industrial Average (DJIA) declined by 0.6% shortly after the opening bell, while the S&P 500 fell by 0.8% and the Nasdaq Composite dropped by 1%, as per FactSet data.
According to payroll-services company ADP, the U.S. private sector added a remarkable 497,000 jobs in June, more than double the 220,000 that economists surveyed by The Wall Street Journal had predicted.
To curb high inflation, the Federal Reserve has been implementing monetary policies aimed at stabilizing the economy since early 2022. After a temporary pause in June, many investors anticipate that the Fed will raise interest rates again in July.
In response to these developments, the yield on the two-year Treasury note surged by 11 points on Thursday morning, reaching approximately 5.05%. Additionally, 10-year Treasury rates experienced an increase of around 10 basis points, standing at roughly 4.03%, according to FactSet data.
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