🩸🩸 Urgent: Traders Adjust Their Expectations Regarding U.S. Interest Rate Cuts Following Employment Report.
👀 Market traders expect that the continued strength of the labor market will delay the Federal Reserve's first interest rate cut until September, with expectations that the central bank will only implement two cuts of a quarter percentage point each during the year 2025. This was indicated by market estimates on Thursday.
😎 Futures contracts linked to the Federal Reserve's benchmark interest rate indicated a less than 5% chance of a rate cut in July, compared to 25% before the release of the Labor Department report, which showed an increase in the pace of hiring with a slowdown in the unemployment rate, amid close monitoring by investors for any new signs of weakness in the labor market, as the debate about when the Federal Reserve will next cut interest rates intensifies..
😎 According to current market pricing, traders expect only two interest rate cuts by December, after previously anticipating three cuts before the end of the year.
$WCT