Treasury yields opened higher on Friday as investors awaited the July U.S. jobs report to gauge the strength of the economy and the pace and extent of future federal interest rate hikes. Book.

The yield on the 2-year Treasury note rose to 3.054% from 3.035% at 3 p.m. Eastern on Thursday.

The 10-year Treasury note was yielding 2.696%, compared with 2.674% on Thursday afternoon.

The 30-year Treasury note was at 2.968%, compared with 2.959% on Thursday.

Treasury yields were higher as investors looked for signs of cracks in the labor market amid growing recession fears. 

The US jobs report for July is due at 8:30 AM. 

The number of jobs is expected to fall to 258,000 in July from 372,000 last month, a poll of economists in The Wall Street Journal estimated.

 If so, it would mark the smallest increase since December 2021.

Geopolitical tensions remain an undercurrent for markets.

 China carried out a "precision missile strike" in waters off Taiwan on Thursday as part of military exercises that raised regional tensions to their highest level.

Five of the missiles fired by China landed in Japan's exclusive economic zone on Hateruma, an island far south of Japan's main islands, Japanese Defense Minister Nobuo Kishi said.

 He said Japan protested the Chinese missile landing as a "serious threat to Japan's national security and the security of the Japanese people."