The yield on the benchmark 10-year Treasury dropped to 2.36% Wednesday from levels closer to 2.48% the day before.
According to combined news reports, the drop was due to disappointing job figures showing private sector employers cut more positions than expected.
Declining rates have sparked a decent refi boom and many lenders are staffing up to handle the volume — but those new hires don't appear to be changing the unemployment rate much.
Continued poor employment news will add pressure on Federal Reserve officials to take more quantitative easing action to address economic concerns.
Officials are currently expected to make a quantitative easing move at their Nov. 2 meeting.
In regard to the employment numbers, Barclays Capital noted that, "The ADP private employment report posted a 39k loss in September, considerably worse than consensus expectations of a 20k rise."
