Markets in Confusion: News on Rates and Unemployment in the US
Rate cuts in the EU and #Canada have led markets to speculate about the Fed easing its policy.
However, the low unemployment rate in the US (4%), according to the latest statistics, has dampened this #Optimism .
Investors are confused: on one hand, there is economic stimulation from central banks, and on the other, persistent inflation and a strong labor market.
Low unemployment gives Powell a reason not to cut rates, but the most interesting part will be on June 12 when May inflation data is released, coinciding with the Fed meeting.
P.S. What do you think, will the Fed ease its policy?
