Institutions: The Federal Reserve may begin cutting interest rates as early as June.
according to a research report by Founder Securities, the December non-farm payroll data was mixed. The overall U.S. employment market is in a moderate downward trend, but the marginal improvement in the unemployment rate gives the Federal Reserve more reasons to wait and see in January. Combined with the possibility that the Supreme Court may declare the IEEPA tariffs unconstitutional, this could be short-term positive for U.S. stocks and the dollar, and negative for U.S. bonds: data such as new jobs, job vacancy rate, and wage growth indicate that the U.S. employment market was still relatively weak in December, but the marginal decline in the unemployment rate is one of the few bright spots. From interest rate futures and U.S. bond trends, after the data release, the market prices in that the Federal Reserve will not cut rates in January, with the earliest rate cut possibly starting in June.
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