The number of initial unemployment benefit claims increases, US bond yields and the dollar weaken

On December 5, after initial jobless claims data in the United States indicated a potential softening of the job market, U.S. bond yields lost some momentum and the dollar weakened, strengthening the case for a Federal Reserve rate cut. The number of initial jobless claims last week was 224,000, higher than the expected 215,000. The non-farm employment figure for November to be announced tomorrow is expected to jump from 12,000 in October to 214,000. The trade deficit narrowed to $73.8 billion in October as expected. The yield on ten-year U.S Treasury bonds was reported at 4.208%, while that on two-year bonds was reported at 4.161%, both higher than yesterday's figures.