Institutions: Nonfarm payroll data, whether positive or negative, can serve as a reason for Trump to push for rate cuts

According to Jinse Finance, financial news service provider Newsquawk expects that U.S. nonfarm payrolls will increase by 129,000 in June, with the unemployment rate projected to remain unchanged at 4.2%. The average hourly earnings growth rate is expected to decrease from 0.4% to 0.3%, while the average weekly working hours are anticipated to stay at 34.3 hours. Powell has stated that the labor market remains solid, though he acknowledged a "very gradual and ongoing cooling," which he does not find concerning. Powell also pointed out that robust job creation and labor force participation are signs of continued economic recovery, a sentiment echoed by other officials. Nevertheless, any "not too bad" employment data could be seized upon by Trump as a reason for the Federal Reserve to cut interest rates; conversely, any unexpected downside in labor data could also be used by Trump to argue for a rate cut by the Fed. (Jin10)