Last week, the U.S. Bureau of Labor Statistics released the latest jobs report, which said, Total nonfarm payroll employment rose by 390K in May, and the unemployment rate remained at 3.6%.
Notable US job gains occurred in leisure and hospitality, in professional and business services, and in transportation and warehousing.
Tight US jobs market will keep the 50bp hikes coming. This report will likely please the Fed in that the job creation story is pretty good, but inflationary pressures in the labour market may well be starting to top-out.
US President Biden said last week, US Economy could grow faster than China, hasn’t happened since 1976. Expecting more moderation in Jobs Growth going forward
In the upcoming week, the U.S. consumer price index will release Friday. Inflation is expected to come in at 8.3% year over year, while core inflation is expected to come in at 5.9% year over year.
All eyes will be on European Central Bank meeting this week. Eurozone inflation hitting record highs.
Market expects this meeting to make clear that rate hikes will be coming in Q3. ECB press conference to follow will provide a chance for Lagarde to elucidate the road back to positive interest rates.
06 Jun 22 (Mon)