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Market Impact: 0.65

Fed bets decline after June jobs report misses forecasts

Interest Rates & YieldsEconomic DataMonetary PolicyLabor Markets & Employment

US interest rate expectations moved lower after June’s jobs report came in weak: nonfarm payrolls rose 57,000, below expectations, and prior months were revised down. The data prompted investors to reassess the Fed’s policy outlook, increasing rate-cut odds and tightening the market’s sensitivity to upcoming inflation and employment prints.

Analysis

US interest rate expectations moved lower after June’s jobs report came in weak: nonfarm payrolls rose 57,000, below expectations, and prior months were revised down. The data prompted investors to reassess the Fed’s policy outlook, increasing rate-cut odds and tightening the market’s sensitivity to upcoming inflation and employment prints.

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mildly negative

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