Nonfarm Payrolls Fell More then Forecast for April.
Unemployment Rate Rises to 3.9% in April
Annual Change in Avg. Hourly Earnings came in line with Inflation Target.
U.S. Consumer Confidence Deteriorated in April.
Israel – Hamas War Continues.
Russia – Ukraine War May Go Nuclear.
Possible Flashpoints in Future: Taiwan, North Korea, Iran and Indo-China Border.
Minutes of Last FOMC Meeting to Be Released on May 22nd.
My Views
Russia – Ukraine War May Go Nuclear.
Unaware Trader on May 4th, 2024.
U.S. Federal Reserve is expected to cut rates in September and December of 2024.
Unaware Trader on May 4th, 2024.
Data Corner
U.S.
Fed Funds Rate
Federal Reserve left its rates unchanged in its meeting in May 2024. Current Range: 5.25% – 5.50%.
Nonfarm Payrolls
Nonfarm Payrolls for April 2024 came way below forecasts (1,75,000 Vs 2,43,000). It is likely to boost Fed’s confidence in current policy stance.
Unemployment Rate
As of April 2024, Unemployment Rate in U.S. stands at 3.90%. This is slightly below the 4.10% that can be expected for a 2.0% inflation target.
Average Hourly Earnings Change (YoY)
Fed should be gaining comfort at the gradual reduction in U.S. Hourly earnings. As of April 2024, it stands at 3.90%.
Consumer Confidence
Consumer Confidence in April 2024 deteriorated in U.S.
