US consumer sentiment rose sharply in June to a four-month high and inflation expectations improved notably as concerns eased about the economic outlook and personal finances.

US consumer confidence rebounded sharply in May from a near five-year low as the outlook for the economy and labor market improved amid a truce on tariffs.

Applications for US unemployment benefits fell to a four-week low, adding to evidence that the job market remains healthy in the face of growing uncertainty tied to trade policy.

Hiring at US companies accelerated last month, rebounding from a weak February marked by severe weather in some regions of the country.

US Treasuries are headed for their biggest monthly rally of the year after the Federal Reserve’s favored inflation gauge decelerated, bolstering expectations for interest-rate cuts starting this year.