After the March figures bleak jobs report April's FOMC has gradually better and confirms the decline in the number of jobs is only temporary. So the latest recruitment figures have to say that the Fed will raise interest rates and its impact on the price of the dollar? Here are a few main ideas of economists by Bloomberg was drawn after the NFP report in April:
- NFP data expected nearly equal:
But NFP is not exceeded expectations, but it also almost expected. There is no reason for the Fed to stop raising interest rates.
- The improvement occurred for other indicators of the labor market.
- Positive response from the dollar and stock markets.
- The Fed will be patient with policy:
Fed President Yellen stated that the United States can expect a recovery in the labor market before deciding whether to raise interest rates.
Conclusion: The job market are the first signs of recovery, but need to confirm more other basic elements of the US economy before deciding to raise interest rates. During this period, the dollar bought more encouraged.
Written By Peter Nguyen