NEW YORK, Jan 6 (Reuters) - U.S. Treasury debt yields rose on Friday after a report showed a rebound in U.S. wages despite lower-than-expected jobs created last month, likely putting the Federal Reserve on track to raise interest rates in the first quarter of the year.
Non-farm payrolls increased by just 156,000 jobs last month, compared with market forecasts of 178,000, the Labor Department said on Friday.
But investors focused on average hourly earnings, which increased 10 cents or 0.4 percent. That pushed the year-on-year increase in average hourly earnings to 2.9 percent, the largest increase since June 2009, from 2.5 percent in November.
In early morning trading, the U.S. 10-year note was down 5/32 in price to yield 2.386 percent, compared with 2.368 percent late on Thursday.
U.S. 30-year bond prices fell 5/32, yielding 2.971 percent , from Thursday's 2.963 percent.
U.S. two-year note yields were at 1.197 percent from 1.178 percent on Thursday. (Reporting by Gertrude Chavez-Dreyfuss)