AMSTERDAM, April 6 Reuters Euro zone bond yields edged up on Tuesday as markets reopened from the Easter holiday and caught up with betterthanexpected U.S. employment data released on Friday.

Last weeks data showed the U.S. economy created the most jobs in seven months in March, beating expectations, as more Americans got vaccinated and the government doled out additional pandemic relief money.

That pushed safehaven U.S. Treasury yields higher across the curve on Friday, although they gave up some of those gains on Monday with the downward trend continuing on Tuesday.

On Tuesday, the first day of trading in the euro zone after the Easter holiday, Germanys 10year yield, the benchmark for the bloc, rose as much as 3 basis points bps before paring some gains.

By 1525 GMT it was up nearly 1 bps at 0.317.

Thanks to yesterdays decline in U.S. Treasury yields, any upward pressure on Bund yields stemming from spillover effects is likely to be limited, UniCredit analysts told clients.

Lowerrated Southern European bonds underperformed higherrated peers, with yields rising 3 to 7 basis points. Bond yields move inversely with prices.

European bond traders closely follow developments in U.S. Treasuries, as bonds in the two regions trade in close correlation.

That caused worries in February, when a sharp rise in Treasury yields on expectations that a vast U.S. stimulus package would reignite growth and inflation also sent euro area borrowing costs higher. The move was seen…