News of hiring pushes down bond prices as traders anticipate a move from the Federal Reserve

MarketsAssociated Press

A strong jobs report knocked U.S. government bond and stock prices down as investors bet that the Federal Reserve could raise interest rates later this year.

In Europe, markets were rattled by Greece's decision to bundle together its upcoming payments to the International Monetary Fund. That heightened concerns that the country could default on its debts and drop the euro.

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The Dow Jones industrial average fell 60 points, or 0.3 percent, to 17,844 as of 9:35 a.m. Eastern time.

The Standard & Poor's 500 lost six points, or 0.3 percent, to 2,089. The Nasdaq declined 18 points, or 0.3 percent, to 5,041.

Bond prices fell. The yield on the 10-year Treasury note rose sharply, to 2.42 percent.

The dollar rose against other currencies.