Treasury Market Preview by Trade the News Staff - In focus today are the releases of Non-Farm Payrolls, the Unemployment Rate, Average Hourly Earnings, Manufacturing Payrolls and Average Weekly Hours, all for Dec. Non-Farm Payrolls are expected to show a gain of 100,000, the unemployment rate to have remain unchanged at 4.5%, Hourly Earnings to have risen 0.3%, Manufacturing Payrolls to show a decline of 15K and Weekly Hours to be 33.9. In Fed-speak, Minehan is speaking about the economy in Boston at 10:35 a.m. Bernanke discusses bank supervision in Chicago at 1:45 p.m. Later, at 5:45 p.m., Moskow speaks about labor and the economy. - Regarding the NFP data, Wrightson ICAP is looking for a below consensus print of +50,000 in the light of the ADP data and in light of recent industry reports suggesting that temporary help hiring was soft in December. The firm is also looking for weakness in seasonal hiring in retail and assumes that construction will roughly match the average decline of 27K of the past two months. Separately, Goldman Sachs last derivatives auction on Dec. NFP was 79,500. - Pimco's Gross has boosted holdings of debt maturing in 3 years or less in Pimco's Total Return Fund to 47%, the most in six years, from 19% in Oct. Yesterday, Gross reiterated his belief that the Fed will cut its benchmark rate to 4.25% this year. - According to the Washington Post, South Korean officials said today that activity had been spotted near a suspected nuclear test site in North Korea, but there was no evidence to suggest Pyongyang was about to test another bomb. ABC news had quoted a U.S. defense official earlier as saying that the North appeared to have made preparations for second nuclear test. The first test took place on Oct. 9. Responding to the news, Japan's Prime Minister, Abe, said that Japan will take tougher steps if the North proceeds with a second nuclear test. - In European economic news, French consumer confidence fell unexpectedly to -26 in Dec. from -25 in Nov. In the U.K., HBOS house prices fell 1.0% in Dec. versus expectations of a +1.0%. And in the Euro-zone, the unemployment rate fell as expected in Nov. to 7.6%. Retail sales in the region rose as expected by 0.5% in Dec, though the year-over-year increase was less than expected at +1.3%. Euro-zone consumer confidence rose to -6 in Dec from -7 in Nov. And PPI came in flat in Nov., below expectations of +0.1%. - At 8:15 a.m. the 30Y future is up 13 ticks at 112 27/32, the 10Y future is climbing 8 ticks to 108 10/32 and the 2Y future is higher by 2 Â¼ ticks at 102 9/3.