Yields for the 10-year Treasury shot up Friday to their highest level since 2023, putting pressure on stock valuations.

The Labor Department reported Friday that 265,000 jobs were added to the U.S. economy in December, which was roughly 100,000 more than expected. The unemployment rate also fell to 4.1%. CBS News contributor Javier David explains why investors see the better-than-expected jobs report as a bad thing.

Friday’s jobs report was “even more important” than normal as the market adjusts its assessment of the direction of the economy.

"I think really the market is saying maybe no rate cuts in 2025, and that the 10-year could very easily break well above 5%," Jeremy Siegel said.

The S&P 500 dipped 0.8 percent, the Dow Jones dropped 267 points and the Nasdaq composite was down 1.1 percent Friday morning.