Euro zone bond yields jump after surge in US jobs shifts rate outlook

Euro zone government bond yields jumped on Friday, after data showed the U.S. economy created far more jobs than expected in January, which prompted a rapid reassessment of how many times any of the major central banks may cut rates this year. The U.S. Labor Department said 353,000 workers were added to non-farm payrolls in December, well above the 180,000 forecast in a Reuters survey and above December's upwardly revised 333,000. Wage growth picked up more than expected and unemployment fell, adding to the view expressed by the U.S. Federal Reserve this week – and echoed by the European Central Bank – that there is no argument for interest rates to drop any time soon.