Treasuries Fall After Jobs Data Exceeds Expectations

U.S. Treasuries declined on February 11, 2026, as stronger-than-expected jobs data fueled expectations of higher interest rates. The nonfarm payrolls rose by 225,000 in December, well above the 185,000 median forecast, and the unemployment rate held at 3.5%, matching a two-year low. The Federal Reserve is expected to hike its policy rate by 25 basis points in its next meeting, likely in March, according to a Reuters poll of economists. Higher rates typically curb borrowing and slow economic growth, putting downward pressure on bond prices.