Institutions: Poor Employment Data Unlikely to Alter Fed's Rate Cut Expectations for the Year

Odaily News Carson Group analyst Sonu Varghese stated that the poor February employment data is unlikely to change expectations regarding the Federal Reserve's rate cuts this year. He noted that this report "reminds us that risks in the labor market have not yet dissipated." On the other hand, "even before the upcoming energy price shock and AI-related bottlenecks, inflation levels remain persistently high." Varghese expects these two major factors to "keep the Fed cautious about cutting rates—a rate cut is unlikely in the short term." The market currently widely anticipates only one rate cut this year. (Jin10)