NFP for May crush analyst estimates. New jobs in US economy total 272,000. Outlook for interest rate cuts clouded again.
Investors had hoped to see another cool jobs report and string it together to the one in April. That way, the Fed would’ve had two consecutive months of soft job growth to work with. Such softening in the workforce should bring markets closer to the start of the interest-rate cut campaign.
Now, however, this question is back on the table: is the progress reversed and are we getting rate cuts this year at all?
Fed boss Jay Powell will provide much needed guidance next week when the Fed decides its interest rate.
