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MNI US Employment Insight - Recession Fears Take A Backseat

EXECUTIVE SUMMARY

  • The nonfarm payrolls report for June saw surprisingly resilient payrolls growth along with evidence of further labor market tightness, exacerbated by a stalling in the post-pandemic recovery of participation rates.
  • Analysts widely saw this report as pushing back against fears the US economy is already in recession and see it emboldening a second 75bp Fed hike later this month, although there is a wider range of views on the labor market outlook further ahead.
  • CPI inflation quickly comes into focus on Wednesday but one analyst sees this as now irrelevant for the July meeting, instead shaping expectations for the September FOMC.

PLEASE FIND THE FULL REPORT HERE:

USEmploymentReportJul2022.pdf

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