Sunday, June 4, 2023

May jobs report may influence Fed

Saving Alpha Analysis

May's jobs report - adding an unexpected 339,000 jobs - may be foremost when it comes to the Federal Reserve’s inflation-fighting policies. 

It shows a vibrant labor market although that strength is softening by average hourly earnings continue to drop and the work week declining by 0.1%.  

The unemployment rate rose from 0.3% to 3.7% meaning the number of unemployed people rose by 440,000 to 6.1M.  

It may look strong, but the details show a softening, according to Lawrence Fuller of The Portfolio Architect.  

That's what the Federal Reserve wants to see and may lead to a pause in their short-term rate increases at its June 14 meeting. 

May's jobs report - adding an unexpected 339,000 jobs - may be foremost when it comes to the Federal Reserve’s inflation-fighting policies.  

It shows a vibrant labor market although that strength is softening by average hourly earnings continue to drop and the work week declining by 0.1%.  

The unemployment rate rose from 0.3% to 3.7% meaning the number of unemployed people rose by 440,000 to 6.1M. 

It may look strong, but the details show a softening, according to Lawrence Fuller of The Portfolio Architect. 

That's what the Federal Reserve wants to see and may lead to a pause in their short-term rate increases at its June 14 meeting. (ANALYSIS: Seeking Alpha 06/04/23) Another Bullish Jobs Report | Seeking Alpha

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