🔥U.S. Job Market Strong Surge in May! New Jobs Exceed Expectations, Dollar and Global Markets Experience Volatility🔥
In May, the U.S. job market displayed strong resilience, with new jobs reaching 139,000, far exceeding expectations of 125,000! The healthcare and leisure industries are on fire, with new jobs reaching record highs: healthcare surged by 62,000, the hotel industry added 48,000, and the social assistance sector also expanded steadily. The only exception was a federal government layoff of 22,000, creating a 'black hole' in employment, which stems from a government downsizing plan promoted by Trump and executed by Musk!
The unemployment rate remains stable at 4.2%, and the average hourly wage surged by 0.4% month-on-month, rising 3.9% year-on-year, reflecting ongoing wage pressures.
Global markets reacted sharply: the dollar index slightly rose to 98.9, but still weakened by 0.5% this week; both the yen and the Swiss franc softened, while the pound dipped slightly but remained strong; the euro initially rose and then fell back, reflecting pressure on the European economy, with weak industrial data from Germany and the lingering shadow of the trade war.
Traders bet that the Federal Reserve will begin cutting interest rates before the end of the year, with a 25 basis point cut nearly a foregone conclusion, and more aggressive rate cut expectations are also emerging. The European Central Bank may follow suit, as an economic storm quietly approaches.
Trump's call with the Chinese side brings a glimmer of hope for trade negotiations, but market sentiment remains cautious, with many uncertainties ahead.
