Market Sees Reduced Need For A July Rate Hike As Jobs Data Cools And Oil Prices Fall

A notable cooling in U.S. nonfarm payrolls and a pullback in oil prices have reduced the perceived need for the Federal Reserve to raise interest rates in July, with multiple institutions saying the Fed may stay on hold for the rest of the year. According to Jin10, inflation targets are still shaping expectations, limiting the momentum of a short-term rebound in the U.S. dollar. Markets will focus next week on the release of meeting minutes and the services PMI.