
NEW YORK, Sept 5 (Reuters) - U.S. Treasury yields dropped on Friday after data showed the world's largest economy created far fewer jobs than expected in August, reinforcing expectations that the Federal Reserve will resume cutting interest rates at a policy meeting this month.
U.S. nonfarm payrolls increased by only 22,000 jobs last month after rising by an upwardly revised 79,000 in July, the Labor Department's Bureau of Labor Statistics said on Friday.
Economists polled by Reuters had forecast payrolls rising by 75,000 positions after a previously reported 73,000 gain in July.
U.S. two-year yields, which reflect interest rate expectations, fell 6.2 basis points to 3.529% US2YT=RR, while the benchmark 10-year yield slid 6.7 bps to 4.109% US10YT=RR.