🔥 Breaking news! The Fed's interest rate cut drama is about to begin!
🔥 Breaking news! The Fed's interest rate cut drama is about to begin!
The U.S. employment data for August was released, and the number of new jobs was only 99,000, far below the expected 145,000, setting a new low since October last year! This fueled the market's speculation that the Fed would cut interest rates by 50 basis points in September, and the probability soared directly to 45%.
📈 The stock market reacted quickly. After the U.S. stock market opened, the Nasdaq and S&P 500 indexes were like chicken blood, and the Nasdaq rose by more than 1%. Technology stocks and Chinese stocks also followed suit, and the market was booming.
👀 The bigwigs of the Federal Reserve are now keeping a close eye on the economic data to be released, especially the non-farm employment report this Friday and the CPI data next Wednesday. If these data are not strong, the Federal Reserve may have to use a big move, and a 50 basis point interest rate cut is not impossible!
📉 ADP data shows that although the pace of recruitment has slowed, not many industries have laid off employees, and industries such as education, construction, and finance are still adding jobs. However, the number of first-time unemployment claims has declined, which may have relieved the market a little.
🚀 The Federal Reserve's September interest rate meeting is coming soon, and the market generally expects a rate cut, but whether it will be 25 basis points or 50 basis points is still a mystery. However, Daly, president of the Federal Reserve Bank of San Francisco, has said that the extent of the Fed's rate cut will depend on the economic data to be released soon.
🌟 In short, the Fed's interest rate cut drama is about to take place, and everyone is holding their breath. The data on the job market will determine the Fed's next move, so let's wait and see!
