Analysis: Nonfarm Payrolls Data Weakens but Still Shows Growth; Federal Reserve’s Decision to Hold Rates Is Reassessed
Svmuu News: Analyst Eric Merlis said, “June’s nonfarm payrolls fell significantly short of expectations, in sharp contrast to the string of upward surprises earlier this year, but the labor market continues to create jobs, and wage growth shows almost no signs of accelerating.” ““With the labor force participation rate weakening and hiring cooling off, the Federal Reserve’s decision last month to hold rates steady no longer appears to be a policy misstep, but rather a prudent and patient approach. Meanwhile, the market is repricing: as the inflation debate continues, the likelihood of future rate hikes is declining.” (Jin Shi)
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